In Pursuit of Consumers!

In January, I had the good fortune to attend this year’s Direct to Consumer Wine Symposium (DTCWS) in Monterey. I was drawn by the compelling roster of sessions offered and by the presenters themselves, a veritable “who’s who” of wine industry A-listers. Amidst the backdrop of the headwinds the industry is facing right now, I was also eager to hear how those in the trenches are coping with the current challenges.

While there was no way to take in all the worthy seminars, here are just a few core themes and takeaways from the week.

 

The Importance of Story

With over 12,000 US wineries vying for share of a consumer pie that isn’t currently growing, the need to differentiate and fine tune one’s brand story is as important as ever. I was happy to hear this theme echoed again and again throughout the Symposium but it took center stage in the Brand Better …or Die Trying seminar, ably presented by Tamara Bingham, Katy Rogers, and Andrew Means.

More often than not, the kernels of a compelling brand narrative are hiding in plain site, lingering in the consumer interactions you are already having, just waiting to be discovered. Wineries were encouraged to dig deep in mining all of their consumer touch points—from their websites and social channels to tales told by top hosts—for story telling nuggets that are unique to them. Once a core story is identified and fine tuned, it then needs to be cascaded down and reinforced across every point of consumer interaction. The importance of frequently auditing these touch points for consistency of message and tone was also (rightfully) stressed. A great session, replete with an epic snack bar.

 

AI is Coming Here

Rishad Tobaccowala

It should come as no surprise that the promise and concerns posed by the growth of AI were a frequent topic of discussion in Monterey. This was kick started by the presentation of Rishad Tobaccowala an AI evangelist who was asked to comment on just how AI might impact the wine industry in the year to come.

While acknowledging the unease the audience might be feeling when confronted by seemingly omnipotent technology, Tobaccowala urged people to embrace and benefit from it: “Rather than think of what AI is going to do TO YOU, think of what AI can do FOR YOU.” He stressed the fact that humans remain an important part of the overall equation. Put another way AI + HI (Human Intelligence) should be the go to formula for success. He encouraged an exploration of various tools (from ChatGPT and Claude to Midjourney and Runway ML) that are now readily available, citing them as game changers for smaller wineries looking to create and distribute cost-effective content.

For those interested in dipping their toes into the AI waters, Rishad recommend a few introductory books to ease into this brave new world:

 

The DTC Tool Kit

With wineries clamoring to attract those elusive younger consumers, numerous sessions spoke to the need to optimize one’s marketing toolkit with best-in-class practices. These ranged from email engagement funnels and SMS texting strategies, to discussions on subscriptions as an alternative to traditional wine club models. While the tactics may vary, the overarching goal is clear: meet consumers where they are and give them lots of options for engagement, verses a one-size-fits all approach.

WEBSITE— One of the better sessions I attended on the tactical front was The Money Marketing Game, presented by Laura Perret Fontana, Barbara Gorder, Kelly Mantel and Danielle Cox. Here the the humble website was hailed as the lynchpin of any DTC strategy. With over 84% of consumers viewing it as an essential mark of brand credibility, it certainly becomes a logical place to start. Websites provide a key vehicle to transact sales, capture leads, book visits, and to tell your story exactly the way YOU want it told.

 

EMAIL—Email remains THE sales workhorse, but one that needs an intentional strategy to optimize. Erica Walter’s session, in particular, was full of great tips on optimizing these communications. For instance, welcome emails are statistically among the most read and lucrative communications you can send, yet they are woefully underutilized. Segmenting your list by buying patterns, frequency of engagement, club status, etc., is a far better approach than blanket communications to all. Finally, ongoing email capture is essential to counteract an average annual list churn of 25-30%.

 

TEXT (SMS)—Text is quickly becoming a greater part of the communications mix for wineries. Companies like RedChirp are making it easier than ever to leverage this tool effectively. Many of the suggestions for email communications hold true for this medium as well. Ensure that you are offering something valuable and specific, segment your audience and tailor communications based on where they are at in their consumer journey with you. Always remember that your aim is to cultivate relationships with your customers, so don’t only message when you have something to sell. Keeping an eye on opt-out rates will help you gauge whether or not your communications are resonating, or if you are messaging too much.

 

There’s a POD For That

If at this point you are kicking yourself for not having attended this symposium, I’m happy to pass along a worthy consolation prize. The organizers had the foresight to invite Sam Coturri, Bart Hansen, and Brian Casey, the trio behind The Winemaker’s Podcast in Sonoma. They spent three straight days interviewing many of the event’s key presenters, popping an epic number of corks in the process! They emerged with several hours of content expanding on many of the themes covered at the event. Spanning three separate episodes, they are well worth a listen.

 

Till We Meet Again

The Direct to Consumer Wine Symposium (DTCWS) was definitely time well spent, chock-full of insightful sessions, thoughtful discussions, and tangible takeaways. Not to mention starting each day with the sounds of seals and seagulls wafting through that brisk seaside air! I hope to return.