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Sonoma State University Winery Direct to Consumer Seminar Fall 2015 10-16-15

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Sonoma State University Winery Direct to Consumer Seminar Fall 2015

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Sonoma State University Winery Direct to Consumer Seminar Fall 2015 10-16-15

  1. 1. 1Bus-810W DTC Marketing Presented by: Ron Scharman Bus-810W: Direct to Consumer Marketing October 16th, 2015 Sonoma State University – Wine Business Institute
  2. 2. 2Bus-810W DTC Marketing Presentation Available in Digital Format
  3. 3. 3Bus-810W DTC Marketing • Currently Chief Operating Officer of Chatterbox Wine Marketing Services and VinoVisit.com • Instructor, SSU Wine Business Institute • Previously 7 years as President of eWinery Solutions • Previously 2 years as COO of New Vine Logistics • Previously 4 years as CEO of Morrell Wine Group • 15 years as a specialty retailer • MBA Cornell University Johnson School of Management • Lover of all things food & wine • Passionate about direct to consumer wine marketing Who am I and Why am I here?
  4. 4. 4Bus-810W DTC Marketing TIME TO LEARN ABOUT YOU
  5. 5. 5Bus-810W DTC Marketing Where are We Going Today? • Past, present, future overview of direct to consumer channel • Analyze the DTC channel ecosystem • Learn about Omni-Channel marketing • Explore the D-E-A-L model of customer progression to Connect/Collect/Convert customers and prospects • Discuss email, mobile and other marketing strategies and execution • Break out customer retention, loyalty and engagement strategies • Dive in to customer relationship management (CRM) • Look into the future of retail marketing
  6. 6. 6Bus-810W DTC Marketing QUESTION FOR THE DAY:
  7. 7. 7Bus-810W DTC Marketing QUESTION FOR THE DAY: How do we sell a 3-dimensional story in a 2-dimensional world?
  8. 8. 8Bus-810W DTC Marketing THE TRUTH IS, ITS HARD. VERY HARD. It is hard to capture the essence of your brand online. This is everyone’s challenge. Visitors are exposed to a number of stimuli that help frame their experience at your winery. They breathe fresh warm air that blows across the valley floor as they enjoy expansive views, marvel at architectural details, and soak in the overall ambiance of your tasting room during their visit. All of these things help engage and interest them.
  9. 9. 9Bus-810W DTC Marketing Tell your story + tell it well (the magic 15%)
  10. 10. 10Bus-810W DTC Marketing It’s Not Only Me……. “Marketing is no longer about the stuff you make, but the stories you tell.” Seth Godin Best Selling Author, Entrepreneur and Marketer
  11. 11. 11Bus-810W DTC Marketing And Even More……… “ The notion of connecting a luxury wine brand with its wider digital and cultural ecosystem is now a matter of survival.” Ron Scharman Wine Consumer Advocate
  12. 12. 12Bus-810W DTC Marketing The Past, Present, and Future of Wine DTC
  13. 13. 13Bus-810W DTC Marketing GROWTH STATS The consumer direct channel of the wine industry is the fastest growing and most profitable channel. Do you have all the tools necessary to be successful and ride the wave?
  14. 14. 14Bus-810W DTC Marketing GROWTH STATS • The U.S. has been the largest wine consuming nation in the world since 2010. • Direct to Consumer (DTC) shipments by US wineries grew at an impressive 15.5% in 2014, hitting a record $1.82 BB. Total volume was 3.95 million cases, up 13.6% over the prior year. This represents 22 consecutive years of volume growth. • This trend continued in 2015. Direct-to-consumer shipments in August 2015 grew 2% over the same time last year and were up 13% over the past 12 months. *Data from Wine Institute, Wines&Vines, & ShipCompliant
  15. 15. 15Bus-810W DTC Marketing EFFECTS OF 2005 SUPREME COURT RULING Supreme Court decision on May 16, 2005 changed forever the wine landscape for the direct-to-consumer wine market.  The Court’s majority opinion stated, "If a state chooses to allow direct shipments of wine, it must do so on evenhanded terms."  The Court ruling: Regulate, But Do Not Discriminate  The States response: Regulate, Don’t Discriminate, But Do Complicate
  16. 16. 16Bus-810W DTC Marketing OPPORTUNITY OF THE DIRECT TO CONSUMER MARKET Domestic / Intl Wine Producer Wholesalers Retailers / On Premise Consumers Direct to consumer 10% of sales ($3.4BB) Wholesaler distribution 90.0% of sales ($36BB)
  17. 17. 17Bus-810W DTC Marketing WINE INSTITUTE LATEST UPDATE • 43 States out of 50 have some provision for winery direct shipping to consumers. • Importers and internet retailers are restricted to fewer states, depending on method of shipment and licenses held.
  18. 18. 18Bus-810W DTC Marketing How Important is the DTC Channel to the Majority of the 8,100+ Wineries and Wine Brands?
  19. 19. 19Bus-810W DTC Marketing ...VERY!! SMALL WINERIES DOMINATE DTC
  20. 20. 20Bus-810W DTC Marketing The evolution from early 2000’s to present day, personal computing has changed 10 fold. What’s changed? Bigger, More Complex Sites 2003 2015 20032003 2007
  21. 21. 21Bus-810W DTC Marketing THE WEB HAS BEEN GROWING FASTER THAN STORES…. 27% 25% 24% 20% 3% 2% 16% 15% 16% 17% 15% 6% 5% 5% 3% 0% -3% 2% 4% 4% 4% 4% -5% 0% 5% 10% 15% 20% 25% 30% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Annual growth rate 2004-2014* eCommerce versus retail spending Growth in e-commerce Growth in non-e-commerce retail *Source: U.S. Commerce Dept., Internet Retailer Note: All other retail sales excludes auto dealers, gasoline stations and fuel dealers, and restaurants and bars.
  22. 22. 22Bus-810W DTC Marketing MORE PC’S GATHER DUST *Source: U.S. Commerce Dept., Internet Retailer 44% 11% 45% Percentage of time on retail web sites Smartphone Tablet PC
  23. 23. 23Bus-810W DTC Marketing MOBILE COMMERCE SOARS Source: *IBM; **Adobe • Mobile devices accounted for 32% of online retail sales (52% of traffic) over 4-day 2014 Thanksgiving weekend*: • Tablets 18%, • Smartphones 14%. • Mobile commerce sales grew 16% on Cyber Monday over the same day last year.* • 19.0% of online sales came from mobile devices, about the same as in 2013.**
  24. 24. 24Bus-810W DTC Marketing MY PHONE IS MY LIFE NOT MOBILE-ONLY, BUT MOBILE-FIRST • More than half of consumers’ digital time is spent on mobile devices (60% according to comScore in June of 2014) – that’s over 3.2 hours per day. • According to Altimeter, consumers check their smartphones upwards of 150 times per day.
  25. 25. 25Bus-810W DTC Marketing MY PHONE IS MY LIFE NOT MOBILE-ONLY, BUT MOBILE-FIRST
  26. 26. 26Bus-810W DTC Marketing THINGS TO WATCH: MILLENNIALS  The crowd is here  Comfort level with mobile transactions  Ease of purchasing  Millennials  Growing FAST!
  27. 27. 27Bus-810W DTC Marketing THINGS TO WATCH PERIOD
  28. 28. 28Bus-810W DTC Marketing Questions?
  29. 29. 29Bus-810W DTC Marketing It’s All About the Customer: Omni-Channel Marketing
  30. 30. 30Bus-810W DTC Marketing OMNI-CHANNEL RETAIL Today’s shoppers expect a single shopping cart that follows them on their customer journey THAT MEANS through multiple touchpoints – instore, online or on the move – so that customers have a seamless experience. Omni- Channel Retail Direct to Consumer Retailers Direct Sales Marketing Wine Club Events eCommerce
  31. 31. 31Bus-810W DTC Marketing Omni-Channel Marketing Transforming the customer journey across all channels
  32. 32. 32Bus-810W DTC Marketing DTC Best Practice: 360 Degree Customer View eCommerce Wine Club Allocations Tasting Room Recipe Engine Social Media (Social Commerce) Mobile Telesales (inbound & outbound) SMS (Text) Email Marketing Visitor Reservations Newsletter Mobile POS Search Engine Optimization (SEO) Fax Winery DTC Ecosystem
  33. 33. 33Bus-810W DTC Marketing Let’s Clear Something Up First……. “Just as you cannot not communicate, you cannot not market - Every time you answer the phone, it’s marketing. - Every time you send an email, it’s marketing. - Every word on your website is marketing. - If you build software, your error messages are marketing. - If you’re in the restaurant business, the after-dinner mint is marketing.” Rework by 37signals
  34. 34. 34Bus-810W DTC Marketing Wine eCommerce vs Wine Commerce
  35. 35. 35Bus-810W DTC Marketing The DTC Winery e-cosystem
  36. 36. 36Bus-810W DTC Marketing WINERY COMMERCE ECOSYSTEM Mobile Commerce Wine Apps SMS Text Commerce Anywhere Pop Up Virtual Commerce Social Commerce Facebook/Instagram/Twitter Crowdsource POS Mobile POS Kiosk Tasting Room Wine Club Allocation/Mailing List Email
  37. 37. 37Bus-810W DTC Marketing WHAT IS ONLINE DTC TODAY? Growing Number of Wine Commerce Business Models Winery Retailer – 8,000+ wineries in North America Internet Retailer – www.wine.com, www.elanvineyards.com(17/20) Discount Internet Retailer – www.wineaccess.com Crowdsourced Production – www.nakedwines.com Marketplace – www.amazon.com Community Member Site – www.winecommune.com Flash Sale/Daily Deal Site – www.winestillsoldout.com Affiliate Marketing Site – www.bottlenotes.com Wine Auction Site – www.winebid.com Cause Marketing Wine Site - www.onehopewine.com Mileage Redemption – www-lh-worldshop-gourmet.com Loyalty Programs - www.foleyfoodandwinesociety.com/About-Us/Membership-Benefits
  38. 38. 38Bus-810W DTC Marketing eCommerce Basics The digital footprint is increasingly important for small-to-medium-size wineries that are shut out of the three-tier distribution channel. It starts with a great website…………
  39. 39. 39Bus-810W DTC Marketing Why Wineries Fail at eCommerce Merchants at heart, who won’t play the part Read my Blog at http://bit.ly/1FyqPS0
  40. 40. 40Bus-810W DTC Marketing Top 5 Reasons • Magic: Wine is approximately 85% water, and 15% magic. • Stories worth reading: There may be stories worth telling in the winery DNA, but they are rarely found on winery websites. • Differentiators : Why do so many winery websites look alike? Most winery websites look like cookie cutters of most other winery websites on a gallery wall. • What’s in it for me: As a consumer, there is no compelling reason I should care about the brand, the user experience, or why I should stay browsing on the site. It’s all about “them”. • Mobility: Recent national all industry data shows that only 45% of website traffic now occurs on a desktop computer. Yet most winery sites give a poor mobile user experience.
  41. 41. 41Bus-810W DTC Marketing This Time It’s Me “The bottom line is that making great wine has nothing to do with creating a great visual palate and making me care about the brand online. It needs to be relevant to my life, not just the vintner’s.” Ron Scharman Wine Consumer Advocate
  42. 42. 42Bus-810W DTC Marketing USING YOUR WEBSITE TO TELL YOUR STORY  Strong branding is key  Include rich content  Use the tools built into your website to improve your SEO  Gather data and market smart  Go Mobile!
  43. 43. 43Bus-810W DTC Marketing Before We Go Further, a Brand Is……… “A brand is a set of expectations, memories, stories, and relationships that, taken together, account for a consumer’s decision to choose one product or service over another……. If the consumer (whether it’s a business, buyer, service, or donor) doesn’t pay a premium, make a selection or spread the word, then no brand value exists for that consumer.” Define: Brand, by Seth Godin
  44. 44. 44Bus-810W DTC Marketing The Self-Fulfilling Prophesy of Fear Marketing: Please Cancel Me From Your Ecosystem
  45. 45. 45Bus-810W DTC Marketing So how do I build a great website?
  46. 46. 46Bus-810W DTC Marketing Understanding Where I Have Been and Where I am Going. What am I Trying to Achieve With My Online Presence?
  47. 47. 47Bus-810W DTC Marketing What’s the Difference Between Good and Bad? GREAT AD TERRIBLE WEBSITE
  48. 48. 48Bus-810W DTC Marketing Building Blocks for Websites Factors to Consider • Software platform • Compliance Solution • Design/Project Management • Features • Why websites fail to perform Software/Compliance • CMS/Cart Options • Cost • Training/Ease of use • Integrations -ShipCompliant, CRM, Marketing options • Designer considerations, data • User experience, SEO Why Winery Websites Fail • Design by committee, boring • Hard to navigate, hard to buy • Not engaging brand story or user experience • Bad Q/C, stuff doesn’t work • Browser incompatibility • Content/Data not updated Features • Ease of shopping – “1 Click” • Ease of navigation • Compliance made easy • Rich, relevant content –SEO • Multiple data capture opportunities • Promotional marketing tools Design • Designer/template • Site Map/Navigation • Wire frames/sketches • Functionality testing • Brand relevance • User Experience
  49. 49. 49Bus-810W DTC Marketing Questions?
  50. 50. 50Bus-810W DTC Marketing D-E-A-L Model of Customer Progression
  51. 51. 51Bus-810W DTC Marketing MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine • Word of mouth • Advertisement • Social Media ENGAGEMENT • Visits website • Visits tasting room • Social Media • Mobile ACQUISITION • Purchases wine online • Buys wine in tasting room • Joins wine club LOYALTY/LOVE • Email communication • Facebook shares • Special events • Ratings
  52. 52. 52Bus-810W DTC Marketing The Science of Discovery DISCOVERY • Events/Restaurant/Retail •Search engine •Word of mouth •Advertisement • Social Media
  53. 53. 53Bus-810W DTC Marketing
  54. 54. 54Bus-810W DTC Marketing
  55. 55. 55Bus-810W DTC Marketing
  56. 56. 56Bus-810W DTC Marketing
  57. 57. 57Bus-810W DTC Marketing
  58. 58. 58Bus-810W DTC Marketing
  59. 59. 59Bus-810W DTC Marketing MAYBE………
  60. 60. 60Bus-810W DTC Marketing Attracting Visitors • Videos • Blogs • Social media • Newsletters • Articles on other websites • Events • Reviews
  61. 61. 61Bus-810W DTC Marketing How do you attract visitors and grow your customer base? Inbound Marketing is a system that allows interested buyers to actually FIND YOU via a combination of:  Content Marketing  Search Engine Optimization  Social Media  Lead Generation & Nurturing Discovery: Getting Found
  62. 62. 62Bus-810W DTC Marketing Discovery: Content Marketing 1. Create useful, usable content that adds value to the customer experience with your brand. 2. Perform outreach, and determine the best outlets to publish (high-profile guest blogging, social networks, your own website). 3. Identify influencers who will share your content and further discussion. 4. Pay attention to the responses, and engage your audience. 5. Analyze the results, measure the impact (new links to your website, new visitors, increased social media activity, more sales).
  63. 63. 63Bus-810W DTC Marketing  Wine, food, travel forums  Existing customers  Referrals from local businesses  Social media channels  Friends and family  Special events  Wine publications and blogs?  Search Engine Optimization  Search Engine Marketing  Ratings and Reviews Getting Found Building Advocates Discovery: Socializing Bricks & Mortar Source: www.tripadvisor.com, Ram’s Gate Winery
  64. 64. 64Bus-810W DTC Marketing  Wine, food, travel forums  Existing customers  Referrals from local businesses  Social media channels  Friends and family  Special events  Wine publications and blogs?  Search Engine Optimization  Search Engine Marketing  Ratings and Reviews Getting Found Building Advocates Discovery: Socializing Bricks & Mortar Source: www.tripadvisor.com, Ram’s Gate Winery
  65. 65. 65Bus-810W DTC Marketing Ratings and Discovery Why Should I Care?
  66. 66. 66Bus-810W DTC Marketing People To People • People are already writing reviews • Opportunities to connect directly with customers • Helps search engines find you and increases ranking • 90% of local searches = purchase or visit
  67. 67. 67Bus-810W DTC Marketing What’s With the Ratings?
  68. 68. 68Bus-810W DTC Marketing
  69. 69. 69Bus-810W DTC Marketing The Players
  70. 70. 70Bus-810W DTC Marketing Heavy Traffic
  71. 71. 71Bus-810W DTC Marketing The Players
  72. 72. 72Bus-810W DTC Marketing Heavy Traffic • TripAdvisor has more than 84 million members, and more than 250 million reviews • More than 375 million travelers visit TripAdvisor each month • TripAdvisor offers a wide range of marketing opportunities, advertising and content solutions
  73. 73. 73Bus-810W DTC Marketing Heaviest Traffic – It’s Google
  74. 74. 74Bus-810W DTC Marketing Advertising Options • Targeted local advertising • Premium placement on search and competitor business pages • Displays on mobile devices too
  75. 75. 75Bus-810W DTC Marketing Mobile Discovery • Winery Client Comment: “Something interesting from all of our analytics is that 30- 40% of all of our traffic comes from iPhones. Hence the importance of mobile sites.” ~Ed @Regusci Winery
  76. 76. 76Bus-810W DTC Marketing Consumers are on-the-go and want quick and easy access to basic information. 99% of the time, they want to do one of five things:  Call Winery  Find Tasting Room  Locate Wine  Buy Wine  Join Wine Club Go Mobile!
  77. 77. 77Bus-810W DTC Marketing Specialized Winery Discovery Tools 77 Apps for the consumer
  78. 78. 78Bus-810W DTC Marketing 78 Winery Passport
  79. 79. 79Bus-810W DTC Marketing • Social Media • Ratings System • User Created Content • Sharing • Ambassadors created and rewarded 79 Other Drivers
  80. 80. 80Bus-810W DTC Marketing VinoVisit.Com Discover Me Now
  81. 81. 81Bus-810W DTC Marketing VinoVisit.Com Discover Me Now
  82. 82. 82Bus-810W DTC Marketing And More………. 82
  83. 83. 83Bus-810W DTC Marketing Visiting Media
  84. 84. 84Bus-810W DTC Marketing CANVAS App CANVAS and VinoVisit join two great winery resources. The Concierge Alliance offers the hospitality industry a clear and easy way to book their customers at wineries in Napa and Sonoma.
  85. 85. 85Bus-810W DTC Marketing Social Media Marketing - Discovery IT’S A BIG TOPIC!
  86. 86. 86Bus-810W DTC Marketing  Wine, food, travel forums  Existing customers  Referrals from local businesses  Social media channels  Friends and family  Special events  Wine publications and blogs?  Search Engine Optimization  Search Engine Marketing  Ratings and Reviews Getting Found Building Advocates Discovery: Socializing Bricks & Mortar Source: www.tripadvisor.com, Ram’s Gate Winery
  87. 87. 87Bus-810W DTC Marketing Remember That the Journey is Non-Linear Transforming the customer journey across all channels
  88. 88. 88Bus-810W DTC Marketing The Science of Social Discovery
  89. 89. 89Bus-810W DTC Marketing BUILD TRUST, THEN THEY WILL BUY social is the best discovery engine, but there are 2 steps 1. Trust 2.Need
  90. 90. 90Bus-810W DTC Marketing SUMMARY: TRUST, TRUST, BUY FB ad friend hotel referral I discover you 1 I trust you 2 I buy when in need 3 FB post tweet email FB post winery visit Social helps each step
  91. 91. 91Bus-810W DTC Marketing Social Media Marketing
  92. 92. 92Bus-810W DTC Marketing Social Media Marketing
  93. 93. 93Bus-810W DTC Marketing Questions?
  94. 94. 94Bus-810W DTC Marketing  Wine, food, travel forums  Existing customers  Referrals from local businesses  Social media channels  Friends and family  Special events  Wine publications and blogs?  Search Engine Optimization  Search Engine Marketing  Ratings and Reviews Getting Found Building Advocates Discovery: Socializing Brick & Mortar Source: www.tripadvisor.com, Ram’s Gate Winery
  95. 95. 95Bus-810W DTC Marketing SEO BREAK
  96. 96. 96Bus-810W DTC Marketing Remember That the Journey is Non-Linear Transforming the customer journey across all channels
  97. 97. 97Bus-810W DTC Marketing •The User's Search or Query - This is the thing a searcher types in. In the example above, someone is looking for information or products relating to Apple computers. •Organic SERP Listings - These are the "natural" listings. To produce these results, Google uses a series of metrics to ensure that your site is relevant. To have your site show here, you have to effectively "score well" on that algorithmic test. •Paid SERP Listings - These are advertisements, or "sponsored links." You can have your ad displayed here by launching a pay- per-click search campaign, and by ensuring that yourmaximum CPC bids and Quality Score allow you to secure a high enough ad position for the keyword you're targeting. SERP Basics – 3 Key Components
  98. 98. 98Bus-810W DTC Marketing Why Do SERPs Matter to Me? Because ranking your site in the proper SERP position will be the difference between success and failure in your search marketing campaigns. Consider the following insights provided by recent Google published stats: • 68% of searchers select a result on the first page of search results. • There is a disproportionate number of clicks (approximately 40%) on the number one listing. • Reaching the first page in paid search is equally important. • In other words, most people click on the first page, and most of those people click on earlier results. The higher your search engine results page ranking, the more traffic you'll get.
  99. 99. 99Bus-810W DTC Marketing How to Improve Your SERP Positions • Research Key words • Organize (group) the keywords • Manage your SEO workflow • Manage your PPC workflow • Act on the analytics • Observe the results • Repeat!
  100. 100. 100Bus-810W DTC Marketing Got Wine?
  101. 101. 101Bus-810W DTC Marketing Your Website is a Marketing Tool More traffic to your website leads to more purchases, visits to your tasting room, and brand recognition. But most wineries struggle to get visitors who search for anything but their brand name. Think about what's relevant to your winery - the varietals you make, the region you're located in, or the story behind your labels. Create a list of keywords that you can associate that go beyond your brand name. Branded search traffic accounts for about 95% of most winery websites traffic, which means they aren't getting much exposure from new, unfamiliar faces. Instead, try to focus on building your site to be a hub of information for not just your wines and your history, but the surrounding area, the vineyards, the AVAs, places to stay, things to see, and anything else that's relevant. Your website should be a flytrap for tourists looking to plan their vacation, or visit that special winery with a picnic area, great view, or wedding venue. 3 Traffic Sources you must cultivate:  Organic search engines.  Referral sites, especially from local regional sites.  Local maps search results. Varietals • Cabernet, Rose, Muscat Regional • Carneros, Willamette, Rutherford Others • Wine tasting/tours • Weddings • Boutique Build a relevant list of keywords
  102. 102. 102Bus-810W DTC Marketing Finding Keyword Variations Use tools like Google Adwords Keyword Tool and Ubersuggest to find lots of keyword variations, along with their search volume. Why it's important: Wineries can capitalize on regional terms and attract a broader range of new visitors to their site. Within any given region, especially tourist areas, you have ample opportunity to find topics to include on your website and possibly attract a new customer as a result.
  103. 103. 103Bus-810W DTC Marketing Assessing the Competition Don't expect to put “Merlot" in your meta tag, and simply hit page one. Many factors come into play in ranking, but a few stand out. Most importantly is the number of links coming into your site. Each link counts as a vote, and quality links can boost your keyword rankings. You also need to focus on creating engaging content on a regular basis.
  104. 104. 104Bus-810W DTC Marketing Focus on Local SEO T0 Attract More Visitors When you do a search for "your region" + "winery" does your website appear in the maps area? This is the "Places" results, and these search results differ from regular organic search results in that they appear for people located very close to your business. They want to find you, but are you listed high enough? In order to rank well in the local search results, you need a two things. A verified Google+ Local page for your business. www.Google.com/places. Multiple NAP (name, address, phone) listings on site like citysearch.com, yp.com, hotfrog.com and others. For a more complete list of sources to get business citations, visit Getlisted.
  105. 105. 105Bus-810W DTC Marketing Thinking Beyond Your Website Content marketing is a huge buzzword right now, and it requires you to both create original content of your own, and interject yourself into conversations relevant to your business. Where do people learn about you? Travel forums: http://www.tripadvisor.com/Tourism-g580460-Napa_Valley_California-Vacations.html Blogs: http://justwandering.me/2013/03/09/napa-valley-wine-tasting/ Wine discussion groups Wineberserkers travel forum There are tons of places where you can tap into new audiences. The wine lifestyle transcends cultures and gives you lots of opportunity to cross-market into other groups that go beyond straight up wine lovers.
  106. 106. 106Bus-810W DTC Marketing Discovery: The Customer Funnel Unaware • Purpose: Create awareness, brand discovery • Blog posts, web page, customer stories, advertising, industry trends Interested • Purpose: Provide usefulness, education, create interest • Regional travel guides, events, independent articles, demonstrated values, email newsletters Desire • Purpose: Incentivize, stir emotion, demonstrate values • Demonstrate charity contributions, connect with lifestyles, build community of social sharing Purchase • Purpose: Secure customer, provide good experience, build loyalty • Reviews & ratings, customer service, upsells and promos, personalized content, streamlined checkout
  107. 107. 107Bus-810W DTC Marketing Discovery To Do List – Top 5 Things 1. Expand company profiles on both local and national travel and tourism sites like Fodors, Wine Travel Guides, Virtual Tourist, and Lonely Planet. 2. Encourage visitors and fans to leave reviews at Trip Advisor, Zagat, Google+, Facebook. 3. Create useful and usable website content that includes resources, things to do, local knowledge, and popular destinations near your winery. 4. Claim your Google+ Local page. 5. Contribute guest blog posts on travel blogs and websites to increase exposure from new audiences.
  108. 108. 108Bus-810W DTC Marketing Questions?
  109. 109. 109Bus-810W DTC Marketing Tell your story + tell it well (the magic 15%)
  110. 110. 110Bus-810W DTC Marketing MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine • Word of mouth • Advertisement • Social Media ENGAGEMENT • Visits website • Visits tasting room • Social Media • Mobile ACQUISITION • Purchases wine online • Buys wine in tasting room • Joins wine club LOYALTY/LOVE • Email communication • Facebook shares • Special events • Ratings
  111. 111. 111Bus-810W DTC Marketing The Art of Engagement ENGAGEMENT • Visits website •Visits tasting room •Calls winery •Social Media •Mobile
  112. 112. 112Bus-810W DTC Marketing Engagement: Online Shopping Experiences Sources: KJ.com, LaCrema.com, Lindemans.com and UnderdogWine.com
  113. 113. 113Bus-810W DTC Marketing Lifestyle Source: www.kj.com
  114. 114. 114Bus-810W DTC Marketing Classic
  115. 115. 115Bus-810W DTC Marketing Aspirational
  116. 116. 116Bus-810W DTC Marketing Contemporary
  117. 117. 117Bus-810W DTC Marketing Every tasting room visitor is a potential customer  Collect email addresses  Personally invite to Tasting Room Events and Winemaker Dinners  Welcome “Check ins” via FourSquare, Facebook  Promote reviews of your business (Yelp, TripAdvisor) and wines (Cellartracker)  Communicate Club benefits and incentives  Convey your winery’s story  Don’t be afraid to ask for the sale Engagement: Build Relationships
  118. 118. 118Bus-810W DTC Marketing Something New For Engagement
  119. 119. 119Bus-810W DTC Marketing Define the Problem Please………
  120. 120. 120Bus-810W DTC Marketing • Tasting rooms captivate the hearts and palates of the consumer • Tablets extend the engagement instantaneously. • Email automation monetizes your engagement through highly targeted offers. Tasting Room Abandonment
  121. 121. 121Bus-810W DTC Marketing Connect Collect Convert VinoVisit Winery Experience Ratings App
  122. 122. 122Bus-810W DTC Marketing • Use your metrics to evaluate and improve the hospitality at the winery. • Receive an automatic email when a low rating is received. • VinoVisit provides the winery with daily reports of all the data points, including reviews. Using an iPad, this tasting room data collection app is easy to use, fun for the visitors and invaluable for monetizing tasting room traffic. Winery Ratings Tablet
  123. 123. 123Bus-810W DTC Marketing Collect data • Build your customer database by collecting Name, Email, and Zip code data. • A generous incentive increases the likelihood of getting multiple entries from everyone in the group. • The winery is provided with a daily report of all data points and customer reviews.
  124. 124. 124Bus-810W DTC Marketing • Collect valuable feedback on the customer’s tasting room experience • Build your customer database • Monetize winery visitations with automatic email offers sent out within 48 hours Convert Customers
  125. 125. 125Bus-810W DTC Marketing The Path to Monetization Customer Conversion
  126. 126. 126Bus-810W DTC Marketing Gain Customer Insights Conclusions
  127. 127. 127Bus-810W DTC Marketing • “Decomplexifying” customer marketing data is crucial to building and annuitizing a successful DTC business • Measure success through Google Analytics • Get insights into how best to allocate marketing resources ($’s and people) going forward. By the Numbers
  128. 128. 128Bus-810W DTC Marketing Social Media Marketing - Engagement IT’S A BIG TOPIC!
  129. 129. 129Bus-810W DTC Marketing Social Media Marketing • Contests • Blogs • Regular integrated posts on all major social platforms • Promoted posts on Facebook, Twitter, LinkedIn • Social media monitoring and response
  130. 130. 130Bus-810W DTC Marketing Social Media Marketing - Engagement So How Does this Work? Here’s an Example…..
  131. 131. 131Bus-810W DTC Marketing Social Media Marketing - Engagement Define Your Target Audience in Facebook
  132. 132. 132Bus-810W DTC Marketing Social Media Marketing - Engagement Ready, Set, Engage!
  133. 133. 133Bus-810W DTC Marketing Social Media Marketing - Engagement August – Sept 2015
  134. 134. 134Bus-810W DTC Marketing Social Media Marketing - Engagement August – Sept 2015
  135. 135. 135Bus-810W DTC Marketing Social Media Marketing - Engagement August – Sept 2015
  136. 136. 136Bus-810W DTC Marketing Campaign Results • Cost per Click: .09 cents • 42% Conversion Rate from Contest • Cost per Email Acquired: .15 cents • 8,000+ Email Opt-Ins • 1,000+ Likes • 150+ Shares • All Performance Based Promotions
  137. 137. 137Bus-810W DTC Marketing Questions?
  138. 138. 138Bus-810W DTC Marketing WATCH: http://www.youtube.com/watch?v=E1rUdTITGCg Things to Watch: Engagement Experiences Macy’s Magic Fitting Room
  139. 139. 139Bus-810W DTC Marketing MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine • Word of mouth • Advertisement • Social Media ENGAGEMENT • Visits website • Visits tasting room • Social Media • Mobile ACQUISITION • Purchases wine online • Buys wine in tasting room • Joins wine club LOYALTY/LOVE • Email communication • Facebook shares • Special events • Ratings
  140. 140. 140Bus-810W DTC Marketing The Results Speak for Themselves ACQUISITION • Signs up for Newsletter/Blog • Purchases wine online • Buys wine in tasting room • Joins wine club • Signs up for wine event • Purchases from catalog or telephone driven by email
  141. 141. 141Bus-810W DTC Marketing Web Analytics: Customer Preferences
  142. 142. 142Bus-810W DTC Marketing Customer Acquisition • Acquisition – Where do you get traffic from? • Behavior – What are visitors doing on your website? – How engaged are they? – What content is most interesting to them? • Outcome – What is the result of their visit? (purchase, signup) – What is the per visit value of a traffic source?
  143. 143. 143Bus-810W DTC Marketing Converting visitors • Wine club signup – Most traditional tasting room business model – Let’s discuss • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – With click-to-call email digital campaign – Let’s discuss • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other
  144. 144. 144Bus-810W DTC Marketing Converting visitors • Wine club signup – Most traditional tasting room business model – Let’s discuss • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – With click-to-call email digital campaign – Let’s discuss • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other
  145. 145. 145Bus-810W DTC Marketing Don’t Forget About Wine Clubs
  146. 146. 146Bus-810W DTC Marketing Please read my blog from January 2015 http://bit.ly/1iMI6yJ
  147. 147. 147Bus-810W DTC Marketing The Winery Determines Selection and Spend Traditional
  148. 148. 148Bus-810W DTC Marketing Traditional Wine Club Member Options: • 3 shipments per year • Winery selects the wine to be shipped (6 bottles per shipment) • No annual commitment • 20% Discount on purchases
  149. 149. 149Bus-810W DTC Marketing Let the Consumer Decide The Future
  150. 150. 150Bus-810W DTC Marketing Transitional Fully customizable from whatever is available at the winery
  151. 151. 151Bus-810W DTC Marketing The Future Wine Club Member Options: • Minimum 6 bottles per year • You choose the wines you wish to receive (increments of 3 bottles) • 1 year commitment • Additional orders do not count toward your annual allocation
  152. 152. 152Bus-810W DTC Marketing “In today’s world, the concept of winery wine clubs must change and evolve, but the importance of continuity programs and relationship annuities lives on.” Ron Scharman Blog The Future
  153. 153. 153Bus-810W DTC Marketing Converting visitors • Wine club signup – Most traditional tasting room business model – Let’s discuss • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – With click-to-call email digital campaign – Let’s discuss • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other
  154. 154. 154Bus-810W DTC Marketing Newsletter Best Practices – Make It Easy! 1 - 5 1. Your registration form should request the user’s email and as little else as possible. 2. Present the opportunity to sign up on every page on your site, and in the same spot. 3. Try to show an actual sign-up form on each page instead of just a link. 4. A one-time pop-up requesting visitors to sign up is okay. 5. Include a link to your Privacy Policy as close to the form as possible.
  155. 155. 155Bus-810W DTC Marketing Newsletter Best Practices – Make It Easy! 6 - 10 6. Include an example of what your customers are signing up for. 7. Present a clear confirmation after your customer signs up. 8. Wait until AFTER the initial sign-up to ask more detailed questions. 9. Send an email confirming the user’s registration. 10. Consider a discount code for a future purchase in the Confirmation Email.
  156. 156. 156Bus-810W DTC Marketing Newsletter Signups - Good
  157. 157. 157Bus-810W DTC Marketing Acknowledge and Reward
  158. 158. 158Bus-810W DTC Marketing Newsletter Signup – Or Make It Hard If you want someone to sign up for your newsletter, make it easy. Do not: 1. Hide your newsletter link 2. Ask for huge amounts of information 3. Demand more information after the user submitted what was asked for. 4. Force customers to enter all their information all over again if they make a mistake in one particular field 5. Forget about thanking them for subscribing
  159. 159. 159Bus-810W DTC Marketing Newsletter Signups - Not So Good
  160. 160. 160Bus-810W DTC Marketing Questions?
  161. 161. 161Bus-810W DTC Marketing Converting visitors • Wine club signup – Most traditional tasting room business model – Let’s discuss • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – With click-to-call email digital campaign – Let’s discuss • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other
  162. 162. 162Bus-810W DTC Marketing Email Marketing for Success
  163. 163. 163Bus-810W DTC Marketing Email Still Rules EMAIL MARKETING ROI According to Exact Target and HubSpot: • Companies view email marketing as a better return on investment than PPC, content marketing, social media, offline direct marketing, affiliate marketing, online display advertising, and mobile marketing. • Email Marketing has an ROI of 4,300% (Based on marginal cost) • 66% of in-house marketers rate email as having “excellent” or “good” ROI
  164. 164. 164Bus-810W DTC Marketing How Money is Spent vs. ROI
  165. 165. 165Bus-810W DTC Marketing Please read my blog from September 2015 http://bit.ly/1K9dpZY THE COST/BENEFIT ANALYSIS OF BUILDING YOUR EMAIL SUBSCRIBER LIST
  166. 166. 166Bus-810W DTC Marketing Sent Delivered Opened Clicked Product Views Cart Additions Checkouts Orders Revenue Units The power of browse
  167. 167. 167Bus-810W DTC Marketing Volume versus conversion Wine Club Red White Cart Abandonment • Low volume • High conversion Browse & Process Abandonment • High volume • Lower conversion { {
  168. 168. 168Bus-810W DTC Marketing Managing the Output – SilverPop Stats Program Open Rate Conversion Rate Broadcast 18.1% 1.6% Purchase Confirm -- 2.4% Welcome 34.4% 1.4% Browse Remarket 41.8% 2.2% Cart Abandon 27.9% 23.1% SKU Notify -- 23.9%
  169. 169. 169Bus-810W DTC Marketing Email Marketing 1 - 5 "Think of how you can make the user love your mails rather than how to land in the Inbox." • Know your audience • Find Out What Subscribers Want and Honor and Deliver on That • Mitigate Deliverability Risks by Delivering Value Not Just Email • Have a clear value proposition for subscribers and customers • Don’t just batch and blast – segment your list and use preference based marketing data
  170. 170. 170Bus-810W DTC Marketing Email Marketing 6 - 10 "Think of how you can make the user love your mails rather than how to land in the Inbox." • Test different types of content and promos to see what generates the best engagement rates, and look beyond opens and clicks to measure success – spam complaints, unsubscribes, etc. • Think responsibly, and responsively – make sure your emails are mobile optimized • Test your promos carefully before blasting away • Use designated landing pages or guide customers to product pages that are relevant • Use an email marketing platform that guarantees high deliverability rates
  171. 171. 171Bus-810W DTC Marketing + Social Media Marketing
  172. 172. 172Bus-810W DTC Marketing + Social Media Marketing
  173. 173. 173Bus-810W DTC Marketing + Social Media Marketing ReachMail 2015
  174. 174. 174Bus-810W DTC Marketing The Changing of the Guard and What It Means for You
  175. 175. 175Bus-810W DTC Marketing • Largest Web-based email service in the world • Has become the standard bearer for ad supported, consumer email services. • Currently has more than 600 Million users worldwide.* • Adding more than 1 Million new users per week.* • 66% of Gmail users open their email on a mobile device. ** • One Billion people have downloaded the Gmail Android App as of 2014.*** * Quora 2015 **Mashable 2014 ***Digital Trends 2014 Gmail Achieves World Domination
  176. 176. 176Bus-810W DTC Marketing The New World of Gmail
  177. 177. 177Bus-810W DTC Marketing • Clean your data • Send out test emails first to an email address at major ISP’s • Use “Content Dialysis” software to check your content for spam inducing results. Ex. Content Detective • Stop using the word “Free”, all caps, colored fonts, etc. • Try sending text format emails vs. HTML. • Go light on imagery, links, and heavy content. • Drip your emails, and break down your large lists • Provide a clear unsubscribe list So What Do I Do Now?
  178. 178. 178Bus-810W DTC Marketing How Money is Spent vs. ROI
  179. 179. 179Bus-810W DTC Marketing Questions?
  180. 180. 180Bus-810W DTC Marketing Cart Abandonment Pit Stop
  181. 181. 181Bus-810W DTC Marketing It’s All About Retargeting
  182. 182. 182Bus-810W DTC Marketing What is Cart Abandonment? “Shopping cart abandonment — when shoppers put items in their online shopping carts, but then leave before completing the purchase — is the bane of the online retail industry, and that includes the wine industry.” BusinessInsider.com
  183. 183. 183Bus-810W DTC Marketing Why Should I Care?
  184. 184. 184Bus-810W DTC Marketing Here’s Why • Approximately $4 Trillion worth of merchandise will be abandoned in online shopping carts this year.. • This equates to approximately 68% of all shopping cart transactions • 63% of these are potentially recoverable, according to BI Intelligence. • Shopping cart abandonment will continue to increase as more consumers shift to online and mobile shopping. BusinessInsider.com
  185. 185. 185Bus-810W DTC Marketing And Really Why • An abandoned cart does not automatically translate to a “lost sale”. • Three-fourths of shoppers who abandon shopping carts say they plan to return to the retailer’s website or store to make a purchase. • Initial emails, sent 3 hours after a consumer abandons a cart, average a 40% open rate, and 20% click through, according to Listrak. • You can expect up to a 20% recovery rate on abandoned carts with a well executed retargeting program BusinessInsider.com
  186. 186. 186Bus-810W DTC Marketing VWO Ecommerce Survey 2014 Reasons for Cart Abandonment
  187. 187. 187Bus-810W DTC Marketing What Should I Do About It?
  188. 188. 188Bus-810W DTC Marketing Talk to Your eCommerce Provider
  189. 189. 189Bus-810W DTC Marketing Shopping Cart Recovery Tips • Strike fast – 50% of carts are typically recovered in the first few hours after abandonment. • Produce a series – typically 3 emails over a 7 day period. • Stage your incentives for returning – increase the discount or other incentives through the series of emails. • Segment and test different creative, subject lines, offers, calls to action, and messaging to see what works best. • Appreciate the value of an email address – no recovery possible without it.
  190. 190. 190Bus-810W DTC Marketing Converting visitors • Wine club signup – Most traditional tasting room business model – Let’s discuss • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – With click-to-call email digital campaign – Let’s discuss • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other
  191. 191. 191Bus-810W DTC Marketing Let the Consumer Decide Email and Omni-channel Marketing
  192. 192. 192Bus-810W DTC Marketing Email + Relationship-Based Telesales + ? ? Click – To – Call Email
  193. 193. 193Bus-810W DTC Marketing Click – To – Call Email
  194. 194. 194Bus-810W DTC Marketing Click – To – Call
  195. 195. 195Bus-810W DTC Marketing Click – To – Call
  196. 196. 196Bus-810W DTC Marketing A Click to Call email is a mobile optimized email announcement for a winery telesales campaign. The object is to allow the consumer to simply call or email their interest to purchase. What is Click- to - Email?
  197. 197. 197Bus-810W DTC Marketing Clear Calls to Action
  198. 198. 198Bus-810W DTC Marketing • Consumers receive hundreds of emails a day, mostly read on a mobile device. • Click to Call emails are optimized for all mobile devices. Optimized for Mobile
  199. 199. 199Bus-810W DTC Marketing • Each email personalized to address the winery customer. • Focused Call to Action - “Call Us” or click to email us is emphasized for greater conversion rates, upsell, and best user experience. Personalized
  200. 200. 200Bus-810W DTC Marketing It’s apples and oranges “CLICK TO CALL” VS. TRADITIONAL EMAIL MARKETING
  201. 201. 201Bus-810W DTC Marketing • Mobile optimized with clear call to action “Call Us”. • One Touch – User clicks phone number and it instantly dials. • Lean: Limited text and imagery. • Content “above the fold”. • No landing page or driver to the cart. • Sales captured through inbound phone calls. The “Click-to-Call” Difference
  202. 202. 202Bus-810W DTC Marketing • “Click to Call” kicks off the winery telesales campaign. • The email offer ‘whets’ the consumer psyche before they receive an outbound call. • Great deliverability, opens, clicks and conversions. • Winery messaging and branding is consistent from the email to telesales campaign. Why It’s so Important?
  203. 203. 203Bus-810W DTC Marketing • Omni-channel - Customer has two ways to order wine. • Quick and flexible engagement to a specific offering. • Soft sell that finds lost revenue in your customer database. • Highly targeted for outbound telesales to customers who have clicked on/opened your email campaign or announcement. • Allows for profitable upsell beyond initial offer Quick Engagement
  204. 204. 204Bus-810W DTC Marketing A-B Testing
  205. 205. 205Bus-810W DTC Marketing Please read this blog from September 2015 http://bit.ly/1NHLGam A/B TESTING: THE SUBJECT LINE PARADOX
  206. 206. 206Bus-810W DTC Marketing • Subject lines are personalized. • Pre-headers with important messaging about your incentive. • Click to Call emails should be rigorously A-B tested to ensure deliverability. • Each email should be tested through *Litmus for optimal viewing and user experience across all browsers and devices. • Post send, lists can be appended to acquire updated email and phone numbers for winery customer base. (*Litmus email testing and marketing analytics) How Does Deployment Work
  207. 207. 207Bus-810W DTC Marketing • The Click to Call is the first initiative in a relationship- based telesales campaign. • Analytics provide insights for follow up marketing efforts. When Does Deployment Occur
  208. 208. 208Bus-810W DTC Marketing Additional Omni-Channel Components • Add direct mail with the same offer at the beginning of telesales and email campaign. • Add buy button with link to landing page and campaign shopping cart. • Tie in social media marketing for campaign on Facebook and Twitter – link to call or email.
  209. 209. 209Bus-810W DTC Marketing Tell your story + tell it well (the magic 15%)
  210. 210. 210Bus-810W DTC Marketing It’s Not Only Me……. “Don’t just focus on your product. Think about who your customers are, what they care about, and where they hang out. Embracing and engaging with your customers means understanding them, their needs and desires. Give your customers more than just your product – give them something important and useful to show that you understand them and their needs. The goal is to become part of your customers’ everyday lives, not just a company at the other end of a financial transaction.” Jacek Blout, Blogger
  211. 211. 211Bus-810W DTC Marketing Questions?
  212. 212. 212Bus-810W DTC Marketing MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine • Word of mouth • Advertisement • Social Media ENGAGEMENT • Visits website • Visits tasting room • Social Media • Mobile ACQUISITION • Purchases wine online • Buys wine in tasting room • Joins wine club LOYALTY/LOVE • Email communication • Facebook shares • Special events • Ratings
  213. 213. 213Bus-810W DTC Marketing Tell Me You Love Me LOYALTY/LOVE • Email communication • Join Wine Club • Newsletter/Blog • Facebook shares • Special events • Ratings • Imagination
  214. 214. 214Bus-810W DTC Marketing Remember That the Journey is Non-Linear Transforming the customer journey across all channels
  215. 215. 215Bus-810W DTC Marketing WHY IS UNDERSTANDING THE JOURNEY VITAL? A return customer is…. 10-15x more likely to buy in the future after the 1st purchase
  216. 216. 216Bus-810W DTC Marketing Retention: The Heart of the Matter AT THE CORE OF DIGITAL RETENTION: USERS CAN LEAVE YOUR BRAND FOR SOMEONE ELSE. ALWAYS REMIND CUSTOMERS WHY THEY FELL IN LOVE WITH YOU IN THE FIRST PLACE
  217. 217. 217Bus-810W DTC Marketing Retention Defined Actions a company takes so that their existing customers continue buying the services and products offered by that company in the future.
  218. 218. 218Bus-810W DTC Marketing Retention vs. Loyalty Loyalty is About Growth Loyalty and loyalty marketing programs work to transform a customer’s positive interactions with a winery into positive outcomes for the customer on an ongoing basis. They recognize the right behaviors and result in a higher value customer for the winery and higher value experience for the customer.
  219. 219. 219Bus-810W DTC Marketing Retention vs. Loyalty Retention is About Decline Retention is about the preservation, rather than growth of a customer. Retention campaigns are focused on a positive indication that this customer is on their way out the door. It’s no longer about growth or what could be, it’s about knowing what is about to happen to your customer and doing something about it.
  220. 220. 220Bus-810W DTC Marketing Retention vs. Loyalty You Should Do Both Retention and Loyalty are two different types of marketing campaigns. Companies should have both campaigns working in tandem as part of the on-going customer conversations. Without these campaigns, businesses miss critical communication points that could result in bigger returns and long lasting relationships.
  221. 221. 221Bus-810W DTC Marketing Remember Reciprocity?
  222. 222. 222Bus-810W DTC Marketing So Where Does Loyalty Begin?
  223. 223. 223Bus-810W DTC Marketing Hopefully It Starts With: “You had me at hello…….”
  224. 224. 224Bus-810W DTC Marketing
  225. 225. 225Bus-810W DTC Marketing And Delighting Customers Make Me Feel Special
  226. 226. 226Bus-810W DTC Marketing The DNA of Customer Loyalty • Loyalty programs are employed to drive customers to shop with a retailer. • Many schemes are purely “transactional” where the customer enjoys the experience but would switch to another brand at the drop of a hat if the alternative offered a slightly better deal. • Many wineries and online wine retailers are striving to get their customers to have an “emotional bond” with them, because high retention rates translate into significant business profits. • Achieving this requires a whole new approach to loyalty.
  227. 227. 227Bus-810W DTC Marketing The DNA of Customer Loyalty The three results that reflect the general components of customer “emotional” loyalty programs are: • Retention – keeping customers • Advocacy – getting new customers through recommendation • Life Time Value – increasing spend and frequency from existing customers Emotional loyalty demands consistency across channels, relevant and timely promotions, customer intimacy and a real excite and delight element built on top of a standard “I’ve got great wine to sell at a good price” story.
  228. 228. 228Bus-810W DTC Marketing Loyalty and Love
  229. 229. 229Bus-810W DTC Marketing Delight customers • Wine club discounts • Wine club special offerings • Club member events • Loyalty bonuses • Special access
  230. 230. 230Bus-810W DTC Marketing Reinventing the Delivery Experience “The luxury experience we are so very carefully cultivating stops at delivery. We don’t need to accept that. I think we can extend that luxury experience and fill the gap.” Jason Eckenroth Founder/CEO ShipCompliant
  231. 231. 231Bus-810W DTC Marketing Reinventing the Delivery Experience
  232. 232. 232Bus-810W DTC Marketing Reinventing the Delivery Experience
  233. 233. 233Bus-810W DTC Marketing Reinventing the Delivery Experience
  234. 234. 234Bus-810W DTC Marketing Delivery Experience Tools • Use concierge services or Doorman.co • Customized winery email on shipment status, and alternative options • Text customers when “Elvis has left the building” • Delivery Experience tools now automatically analyze the destination temperature of each package prior to shipping • Ship to “hold at FEDEX” • Multiple winery fulfillment warehousing locations • Not allowing FEDEX and UPS to dilute customer luxury brand experience. Maniacally focus on first-time delivery
  235. 235. 235Bus-810W DTC Marketing Delivery Experience Tools • Correlation between deliverability on the first attempt and reorder rates. • ShipCompliant found that customers were 27 percent more likely to order from a winery again if the wine was delivered successfully on the first attempt. • Winery customer service staffers report that half of the calls they receive revolve around shipments and package tracking.
  236. 236. 236Bus-810W DTC Marketing Delivery Experience Tools • Adult signature requirements, high freight costs, temperature concerns, compliance regulations, and multiple carriers are just some of the challenges wineries face in delivering seamless and personalized customer experience. • Wineries can send customized, personalized emails to customers to deal with tracking concerns, rather than forcing the customer to deal with shipping carriers. • Save your customers the aggravation of missing their delivery and improve your bottom line through targeted customer education and a range of delivery options.
  237. 237. 237Bus-810W DTC Marketing And Keep Delighting Customers Make Me Feel Special
  238. 238. 238Bus-810W DTC Marketing Love is Sharing with Others
  239. 239. 239Bus-810W DTC Marketing Get Social - Build Your Brand Advocacy
  240. 240. 240Bus-810W DTC Marketing Questions?
  241. 241. 241Bus-810W DTC Marketing Whether a customer buys wine in your tasting room, or on your website, their information flows to one central location. Tangible benefits:  Full purchase history in one system  Segmenting customers for marketing  Customer can access their profile online  Access customer information from anywhere  One central customer record shared across multiple systems Tasting room Wine club Website Customer Relationship Loyalty: One Customer, One Database
  242. 242. 242Bus-810W DTC Marketing CRM Customer Relationship Management
  243. 243. 243Bus-810W DTC Marketing CRM – Customer Relationship Management Simply put, CRM is putting customers at the heart of a business. Today it is more important than ever to build better relationships with customers as, in this day and age of social media, they now talk to ???? people at a time. They have a megaphone, making it easier for positive and negative messages to spread fast and wide. With the support of technology, the goal of CRM is to have a 360- degree view of the customer which will enable you to improve the quality and satisfaction of each customer interaction and maximize the profitability of customer relationships... a win/win for both the business and customers.
  244. 244. 244Bus-810W DTC Marketing CRM Requirements for Success 1. Strategy. Your customer strategy identifies the customers the organization intends to serve and articulates the desired customer experience to be delivered. 2. Process. Business processes are comprised of the practices associated with major customer facing business functions in the organization. For example, marketing, eCommerce, direct sales, partner sales, customer service, and field service. 3. Technology. Your technology environment plays an important role in enabling the CRM business processes and is comprised of customer analytics, customer data management, and technology infrastructure. 4. People. How people are organized and led has a large role in determining success with CRM. You must pay attention to the organization’s corporate culture, leadership practices, collaboration methods, training programs, and performance measurement approaches.
  245. 245. 245Bus-810W DTC Marketing Know Thy Customer What kind of relationship do you want to build with your target audience?
  246. 246. 246Bus-810W DTC Marketing Know Thy Customer 1. How do you define your target audience (age-group, gender, education, income, likings, ethnicity, lifestyle etc) and where majority of them live? 2. Who are your best customer types in terms of revenue generation and why? 3. What kind of relationship you want to build with your target audience? 4. What are the desires and expectations of your target audience? 5. What is the level of product use? Are your customers loyal to you? 6. What are the most common objections raised by your customers? 7. Who are the actual decision makers (who has the final say)?
  247. 247. 247Bus-810W DTC Marketing 360 Degree View of Your Customer Information about your members collected at each touch point outside your website should be attached to the member profile record, creating a complete view of your customer.
  248. 248. 248Bus-810W DTC Marketing Preference Based Marketing • Your member data should not be limited to just online sales and wine club members. • As the direct to consumer sales channel grows customers are finding more and more touch points to interact with wineries or wine brands. • Information about your members that is collected at these touch points outside your website is easily fed into the member profile creating a complete detailed profile of each of your customers preferences.
  249. 249. 249Bus-810W DTC Marketing Filter and Segment Data • CRM tools filter and segment data. • The first step to understanding how to market and sell to your customers and prospects is to first build custom fields to segment by preferences, buying habits and behaviors. • Filtering tools are used to create custom marketing lists so that the right message is delivered to the right customer at the right time.
  250. 250. 250Bus-810W DTC Marketing Dynamic List Building • The benefit of building a robust database is being able to comb through and segment that data so that you can market to your customers in the most personal way possible. • Website tools help you filter your customers into groupings based on things they share in common. • Lists are then created which with a 'profile' for a particular type of member, which can be based on things like their buying preferences in the past.
  251. 251. 251Bus-810W DTC Marketing Manage Member Data • The integrity of your member data is the key to successful CRM. • Member maintenance tools allow you to consolidate duplicate member records, keeping your data clean and accurate. • Match your potentially duplicated member records, then merge the suggested matches, consolidating address, payment and order history. • Clean data is useful data. Find duplicate data and merge records.
  252. 252. 252Bus-810W DTC Marketing Email List Segmentation • Content is Primary • Segmentation comes next – Varietal preferences (Special offer on Reds) – Locals (Come to our next event) – Order history (We’ve missed you) – Club join date (One year anniversary together) – Credit card set to expire (Update your profile)
  253. 253. 253Bus-810W DTC Marketing Business Intelligence Listen, Learn, Act • Tap into real-time critical business data to increase your ROI on sales and marketing initiatives. • Business intelligence reporting delivers key point-of-sale, ecommerce, club member, inventory, CRM, and telesales information on-demand, with responsive mobile ready reporting capabilities.
  254. 254. 254Bus-810W DTC Marketing Google Analytics • Google Analytics is a powerful tool for evaluating the effectiveness of your website in getting and keeping user traffic. • Implementing Google Analytics tracking codes on your website helps you gauge the amount of traffic to your site and how consumers behave while visiting your website. • This information from your website appears in your Google Analytics dashboard where you can view this data and use it to optimize your site.
  255. 255. 255Bus-810W DTC Marketing What’s New? Social CRM
  256. 256. 256Bus-810W DTC Marketing Connect the Dots Between Web Analytics By connecting the dots between web analytics and social media metrics, you can understand – at a much deeper level – the types of content that generate the most awareness, value, and online revenue for your company. Learn how your prospects and customers discover and engage with your social content, and what content and media types drive conversions and sales.
  257. 257. 257Bus-810W DTC Marketing Next Generation: Listening and Engagement Combined Web Analytics CRM Social Metrics
  258. 258. 258Bus-810W DTC Marketing Big Data in Action The rise of the Datarati. “Big data” is one of the most over-used and over-hyped words in 2015. While much of it is hype, what is not are companies’ continued focus on data analysis. Companies continue to invest in measuring social media, understanding customer value and modeling customer behavior. If you do not use your data to talk to your customers, others will.
  259. 259. 259Bus-810W DTC Marketing Constellation Customer Segmentation Study “The Genome Project” Constellation Brands has released results of a comprehensive study identifying six segments of wine drinkers based on their purchase behavior, motivations and preferences. The study follows up on a similar study conducted ten years ago. Please read the article on the study in Wine Business Daily: http://www.winebusiness.com/news/?go=getArticle&dataid=134683
  260. 260. 260Bus-810W DTC Marketing Constellation Segmentation Study Outlines Motivations, Behaviors of Today's Wine Consumers Consumer Segment - Consumer Profiles Price Driven (21% of consumers) • I believe you can buy good wine without spending a lot • So price is a top consideration Everyday Loyals (20% of consumers) • Wine drinking is part of my regular routine • When I find a brand I like, I stick with it Overwhelmed (19% of consumers) • I drink wine, but it does not play an important role in my life • I don’t enjoy shopping for wine, and find it complex and overwhelming Image Seekers (18% of consumers) • How others perceive me is important • I want to live a life that impresses others • I want to make sure the wine I choose says the right thing about me Engaged Newcomers (12% of consumers) • I'm young and new to an intimidating category • Wine is a big part of the socializing I do • I’m interested in learning more Enthusiasts (10% of consumers) • I love everything about the wine experience • I love researching purchases, reading reviews, shipping, discussing, drinking, sharing with others
  261. 261. 261Bus-810W DTC Marketing Tell your story + tell it well (the magic 15%)
  262. 262. 262Bus-810W DTC Marketing Final Thoughts Things to consider in your DTC marketing strategy: • What makes you different or your story compelling? • How do you deliver the message to visitors in person or digital? • Why should they care? • What is your plan for building and maintaining customer loyalty?
  263. 263. 263Bus-810W DTC Marketing And Delighting Customers Make Me Feel Special
  264. 264. 264Bus-810W DTC Marketing Addendum The Future is Now
  265. 265. 265Bus-810W DTC Marketing New Retail Concepts • Selling the long tail of wine - https://www.youtube.com/watch?v=Pa1-sV9FgjA - The launch of Amazon Wine • Next Generation Wine Store - https://www.youtube.com/watch?v=IUQLsqkgZ3M • Wine by Vente-Privee - https://www.youtube.com/watch?v=SKY_3NKE9tE • A Wine to Change the World - https://www.youtube.com/watch?v=Jd3xxwPnKJ8 - Cause Marketing • Naked Wines - https://www.youtube.com/watch?v=qC7qop1Omgg – Crowdsourcing Wine Model • Underground Cellar - Get yo' wine on in the Underground Cellar - https://www.youtube.com/watch?v=eYF9aywOX7E • Looking Glass - Champagne & Shopping - www.lookingglasshbg.com • Banshee Wines - https://www.youtube.com/watch?v=ZyMEEdE39EM – Banshee Wines has gone Google
  266. 266. 266Bus-810W DTC Marketing New Retail Concepts – Wine Apps • Wine App market is exploding – all trying to connect search to intent to buy. • Next Glass - The Science Behind Great Beer & Wine Recommendations - https://www.youtube.com/watch?v=dTuWf1A5D1I • Wine Apps – Vivino - https://www.youtube.com/watch?v=0I802FfNDIY • Wine Apps – Plonk - https://www.youtube.com/watch?v=0_D7bAsOJVo
  267. 267. 267Bus-810W DTC Marketing Augmented Reality • IT'S NOT A FUTURISTIC DREAM, IT’S HERE NOW. • https://www.youtube.com/watch?v=FHrtvUZSj50 - Augmented Reality Will Change Online Shopping Forever • https://vimeo.com/50065093 - This is Augmented Reality • https://vimeo.com/99008123 - Coke Augmented Reality in Athens • https://vimeo.com/122899989 - Visa Augmented Reality in Poland • https://www.youtube.com/watch?v=09vxKN1zLNI – Metaio Augmented Reality
  268. 268. 268Bus-810W DTC Marketing Virtual Retail - Tesco “The future of retail is happening now” • Tesco Homeplus Virtual Subway Store in South Korea https://www.youtube.com/watch?v=fGaVFRzTTP4 • Tesco's Interactive Virtual Grocery Store In Gatwick Airport's North Terminal https://www.youtube.com/watch?v=qJkt8uqcWro
  269. 269. 269Bus-810W DTC Marketing Contact Info Ron Scharman Chatterbox/VinoVisit ron@chatterboxwinemarketing.com 707-556-2322 Find Me on LinkedIn at http://bit.ly/1WyFHpA

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