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Anderson Valley Winegrowers Digital Marketing Presentation

Anderson Valley Winegrowers Digital Marketing Presentation

Ronald Scharman

March 11, 2020
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  1. 2 1 Who am I and Why am I here?

    2 Where Are We Headed 3 The Past, Present, and Future of Wine DTC and eCommerce
  2. 3 • Currently CEO Astra Digital and FlyWithWine • Instructor,

    SSU Wine Business Institute – 7 Years • Previously COO of Chatterbox Wine Marketing/VinoVisit.com • Previously President/Owner of eWinery Solutions(VinSuite) • Previously COO of New Vine Logistics (Now Wine Direct) • Previously 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 • More info on LinkedIn at http://bit.ly/2cRRL5C Who am I and Why am I here?
  3. 7 QUESTION #1 FOR TODAY: How do we sell a

    3-dimensional story in a 2-dimensional world?
  4. 8 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.
  5. 10 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
  6. 11 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?
  7. 12 GROWTH STATS *Source: U.S. Commerce Dept., Internet Retailer Total

    retail value of wine sales in the United States from 2000 to 2018 (in billion U.S. dollars)
  8. 13 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 in value at the rate of 7.4% in 2018, hitting a record $3.2BB. This followed average annual growth of 14% over the prior 5 years, and represents 28 consecutive years of volume growth for this channel. *Wine Institute, Wines&Vines, & ShipCompliant
  9. 14 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
  10. 15 WINE INSTITUTE LATEST UPDATE ➢ 45 States out of

    50 have some provision for winery direct shipping to consumers (9% of consumer markets) ➢ Importers and internet retailers are restricted to fewer states, depending on method of shipment and licenses held.
  11. 16 How important is the DTC channel to the majority

    of the 11,000+ wineries… and wine brands?
  12. 20 What’s changed? Bigger, More Complex Sites The evolution from

    early 2000’s to present day, “personal computing” has changed 10 fold. 2019
  13. 21 LOOKED AT ANOTHER WAY The faithful gather in 2005

    near St. Peter's to witness Pope John Paul II's body being carried into the Basilica for public viewing. St. Peter's Basilica at the Vatican, on March 13, 2017
  14. 22 Physical Retail Growth = Solid +2.0% vs/ +1.6% (Y/Y

    – Q1 vs. Q4) Physical Retail Sales s. Y/Y Growth, USA Source: BOND Internet Trends 2019
  15. 23 E-Commerce Share = Gains Continue @15% of Retail vs.

    14% Y/Y E-Commerce as % of Retail Sales, USA Source: BOND Internet Trends 2019
  16. 25 MORE DESKTOP COMPUTERS GATHER DUST *Source: U.S. Commerce Dept.,

    Internet Retailer 44% 11% 45% Percentage of time on retail web sites Smartphone Tablet PC
  17. 26 Digital Media Usage = Accelerating +7% vs. +5% Y/Y

    Daily Hours Spent with Digital Marketing per Adult User, USA Source: BOND Internet Trends 2019
  18. 27 Adults ‘Almost Constantly’ Online = 26% vs. 21% Three

    Years Ago % Adults Online ‘Almost Constantly’ Source: BOND Internet Trends 2019
  19. 28 Online Platform Time = YouTube + Instagram Gaining Most

    % Internet Users Using Select Platforms > 1x per Day, Global Source: BOND Internet Trends 2019
  20. 29 Internet Ad Spending (Annual) = Accelerated +22% vs. +21%

    Y/Y Internet Advertising Spend Source: BOND Internet Trends 2019
  21. 30 Internet Ad Platforms = Google + Facebook Lead but

    Others Gaining Share Select USA-Based Advertising Platform Revenue, Global Source: BOND Internet Trends 2019
  22. 31 Video Time = Digital +2x in Five Years @

    28% of Total (vs. TV) Video Watching Daily Minutes - Digital vs. TV, USA Source: BOND Internet Trends 2019
  23. 33 People have always been visual - our brains are

    wired for images. Writing was a hack, a detour. Pictorial languages are how we all started to communicate - we are coming full circle. We are reverting to what is most natural. Instagram challenges the notion that beauty comes in a traditional, artsy form… it’s not about beauty, it’s about the story you tell. Kevin Systrom - Instagram Co-Founder, 5/19 “ ”
  24. 40 Today’s shoppers expect a single shopping cart that follows

    them on their customer journey THAT MEANS through multiple touchpoints – in-store, online or on the move – so that customers have a seamless experience. Omni- Channel Retail Direct to Consumer Retailers Digital Sales Marketing Wine Club Events eCommerce OMNI-CHANNEL MARKETING
  25. 42 Digital Marketing Defined A discipline within marketing that makes

    use of electronic devices to engage with audiences, applying technologies like websites, e-mail, mobile devices, apps and social networks.
  26. 43 Fundamental Question Digital marketing helps answer very common questions

    & business problems, such as: ⮚“What’s our growth strategy?” ⮚“Organic growth and visitation has slowed…” ⮚“What can we be doing online…?”
  27. 46

  28. 48

  29. 50 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
  30. 51 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…………
  31. 52 Why Wineries Fail at eCommerce Merchants at heart, who

    won’t play the part Read my Blog at http://bit.ly/2l9GrWJ
  32. 53 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.
  33. 54 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
  34. 56 USING YOUR WEBSITE TO TELL YOUR STORY ✔Strong branding

    is key ✔Include rich content including quality images/video ✔Use the tools built into your website to improve your SEO ✔Gather data and market smart ✔Go Mobile!
  35. 57 Understanding Where I Have Been and Where I am

    Going. What am I Trying to Achieve With My Online Presence?
  36. 58 Answer the Important 3 Questions: 1) Why do I

    exist? (My Brand) 2) Why should you care? (The Consumer) 3) How do I measure success? ($$, Visitors)
  37. 61 Building Blocks for Websites Factors to Consider • Software

    platform • Compliance Solution • Cost • Design/Project Management • User Experience • Features 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 • SEO an afterthought
  38. 62 “Mobile is the glue that holds omni-channel shopping experiences

    together, enabling marketers to continuously engage with consumers as they move through an increasingly non-linear sales funnel.” And Don’t Forget Mobile
  39. 63 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!
  40. 65 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 Apps
  41. 68 MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine •

    Word of mouth • Advertisement • Social Media • Wine List 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 D E A L
  42. 69 The Science of Discovery DISCOVERY • Events/Restaurant/Retail •Search engine

    •Word of mouth •Advertisement • Social Media •Location
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  49. 77 Attracting Visitors • Videos • Blogs • Social media

    • Newsletters • Articles on other websites • Events • Reviews
  50. 78 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).
  51. 79 ✔ 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
  52. 81 Here is One Reason… Robert Parker formally retires from

    The Wine Advocate. Robert Parker, arguably the most influential wine critic in history, has formally retired from The Wine Advocate at the age of 71. May 17, 2019
  53. 82 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
  54. 84 Heavy Traffic • More than 145 million visitors to

    the Yelp website each month. • 171 Million reviews • 55% of the visits are on a mobile device • 42% of users are in the 18 -34 age group and 20% over 55. • 34% have household income less than $59k and 39% over $100K.
  55. 85 • More than 455 million travelers visit TripAdvisor each

    month • More than 702 reviews • TripAdvisor offers a wide range of marketing opportunities, advertising and content solutions Heavy Traffic TRIPADVISOR – TOP 5
  56. 87 • Google has 63,000 searches per second worldwide •

    Put another way, it’s at 5.5 Billion per day • 75.2% of all searches in U.S. on Google • 89.2% of all mobile search in U.S. on Google Heavy Traffic
  57. 88 Newest Traffic – It’s Waze ⮚ Owned by Google

    since 2013 ⮚ 90 Million active users as of October 2018 ⮚ Target drivers who are on the go near your business location with a meaningful local ad experience
  58. 89 • Targeted local advertising • Premium placement on search

    and competitor business pages • Displays on mobile devices too Advertising Options
  59. 91 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 Mobile Discovery
  60. 101 ✔ 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
  61. 103 SEO is one of the biggest trust building investments

    your business can make. The problem is people don’t know where to start… Michael Stelzner - Social Media Examiner “ ”
  62. 105 The best place to hide a dead body is

    page 2 of Google search results.
  63. 106 CONSIDER SEO YOUR SECRET WEAPON Unless you’re ranking in

    the Top 10,... ...you’re likely not being seen
  64. 107 Goals of SEO #1 on SERP Increase in Organic

    Traffic Increase in Ranking Keywords Quality Traffic & Conversions Tasting Room Visitors
  65. 108 Glossary of Terms: SEO - Search Engine Optimization SEM

    - Search Engine Marketing SERP - Search Engine Results Page Search Engine Rank - The position a site appears in search results Keyword - The words or phrases that make it possible for people to find you H Tags - Header Tags are used to define the title and heading of related content Meta Description - A text summary of the page’s content that search engines find
  66. 109 •The User's Search or Query - This is the

    search term(s). •Organic SERP Listings - These are the "natural" listings. •Paid SERP Listings - These are sponsored advertisements SERP Basics – 3 Key Components
  67. 110 Why Does SERP 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.
  68. 111 Search Algorithms are Changing... Each year, Google changes its

    search algorithm 500-600 times... RankBrain Panda Penguin Hummingbird Pigeon
  69. 112 SEO Principles 1.Build Trust 2.Quality vs. Quantity 3.Content is

    ALWAYS King 4.Link Building 5.Mobile Optimized 6.Speed 7.User Experience
  70. 113 Search Volume Competition OCTR - Organic Click Through Rate

    Choose Keywords Relevant to your winery
  71. 114 Your Website is a Marketing Tool 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 • 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. • 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.
  72. 115 Common on page optimization elements Page Titles Page Meta

    Description H1, H2, & H3 Tags Image Alt Tags Image Names Content, Content, Content!
  73. 116 Pathways to BAD SEO... 1. Not paying attention to

    algorithm updates 2. Not having a clearly defined keyword strategy 3. Creating content without optimizing for SEO 4. “Stuffing” pages with keywords
  74. 118 DON’T FORGET GOOGLE MY BUSINESS Consumers may find what

    they need without ever clicking your site
  75. 122 HOW BIG IS PAID SEARCH? Grew by 18% in

    2017 and 19% in 2018 Source: Direct Marketing Association 2016
  76. 123 PAID GOOGLE ADS PUSHING OUT LESS THAN PERFECT SEO

    Your best bet is to make sure you are doing both well.
  77. 124 NEW CUSTOMER ACQUISITION STRATEGIES FOR WINERIES - WHY GOOGLE

    ADS IS A TOOL WORTH CONSIDERING Read my Blog at https://bit.ly/2NGUd21
  78. 127 ✔ 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 Getting Found Building Advocates Discovery: Socializing Bricks & Mortar Source: www.tripadvisor.com, Ram’s Gate Winery
  79. Facebook under scrutiny • Violation of privacy • An exodus

    of users on the platform • The advent of ”fake news” and those manipulating misleading content
  80. How did Facebook respond? • A new mission on privacy

    and transparency • A major emphasis on stories and “authentic content” • Focus on community groups as trusted sources
  81. How the market responded • 2.8 billion users use one

    of their services daily (Messenger, Facebook, Instagram, WhatsApp) • Advertisers continue to support Facebook and the user base continues to expand • Facebook profit was up 19% with revenue growing 29% to $17.65 billion • Quarterly users were up 8% to 2.45 billion users
  82. What this means for wineries • Relationship-based marketing must be

    at the core of your outreach ◦ Facebook remains one of the most relevant platforms to reach consumers ◦ Use your data to reach current and prospective buyers ◦ Market to individuals based on the relationship you have with them ◦ Get past behavior and go deep into custom audiences
  83. Stats as of February 2017 •234 Million Adults in U.S.

    •14% High Frequency Drinkers •= 33 Million HF Drinkers •24% Occasional Drinker •= 56 Million Occasional Drinkers •Total = 89 Million Prospects
  84. Segmentation Should allow you to focus 90% of your efforts

    on the 10% of your customers that generate the most value for your winery...
  85. • Use Google Analytics and eCommerce/POS CRM data to analyze

    your website traffic and customer base • Focus on your most loyal customers, wine club members, and frequent purchasers first. • What to do: ▪ Define what segments are relevant to your winery • Wine club • Past purchasers • General email subscribers • Event attendees 1. SEGMENT YOUR DATA WITH RELEVANCE
  86. WHO ARE THESE PEOPLE? Winery Client #1: High-quality, approachable wine

    from Amador County Winery Client #2: Prestigious Cabernet producer in Santa Barbara
  87. 2. Clean Your Data • The cleaning of your data

    is beneficial in many ways. It increases opening rates, connects you with forgotten customers, and saves money on storage. • What to do: ▪ Identify records to clean • Current and Previous members • Current email list • Bounces
  88. 3. Segment Your Traffic • Using the Facebook Pixel allows

    you to separate traffic on your site into specific events that can be targeted later. • What to do: ▪ Install Facebook Pixel on your site ▪ Create custom labels for actions that people perform
  89. Use High Quality Photos The difference between an average picture

    and a great one can sometimes boil down to two words, “Crop” and “Enhance”. So you don’t have a full-time graphic designer at your fingertips. No problem! Most smartphones have the ability to take average photos and make them great.
  90. If You Do Not Pay to Advertise on Facebook, It

    Is Estimated That You Reach less than 1% of Your Fan Base... Forbes.com
  91. 1. Create Targeted Campaigns Remind people why they fell in

    love with you in the first place……….
  92. 2. Create Retargeting Campaigns inside and outside of FaceBook •

    Don’t let the relationship end if someone visits your website and leaves. • What to do: ◦ Clicked on a Merlot - Serve a Merlot ad ◦ Clicked on your blog - Serve an ad for your next blog ◦ Shopping Cart Abandonment ▪ If someone filled their cart and left, serve them a special discount to return and purchase.
  93. 3. Find Potential Customers in Lookalikes • Mirror your most

    loyal wine club/frequent purchasers by building Facebook Custom Audiences with your existing email list. Lookalike Audiences Your Customers/Users/Visitors Facebook Users Find more customers like your best ones
  94. 4. Track Your Stats • The only way to know

    if you have a positive ROI is if you track your progress. • What to do: ▪ Make sure Google Analytics and your Facebook Pixel are set up properly • Setup your goals and ecommerce funnels. ▪ Use UTMs to monitor the source of your traffic.
  95. Urchin Tracking Module is a simple code that you can

    attach to a custom URL in order to track a source, medium, and campaign name. This enables Google Analytics to tell you where searchers came from as well as what campaign directed them to you
  96. 1. Segment your data 2. Create strategic content 3. Maintain

    and execute a consistent social engagement 4. Create targeted and integrated email, social marketing, and retargeting campaigns 5. Find new lookalike potential customers 6. Track your stats Actionable Takeaways:
  97. 185 MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine •

    Word of mouth • Advertisement • Social Media • Wine List 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 D E A L
  98. 186 The Art of Engagement ENGAGEMENT • Visits website •Visits

    tasting room •Calls winery • Social Media • Mobile
  99. 196 Think “making a difference in people’s lives”! ✔ Videos

    ✔ Blogs ✔ Recipes ✔ Special offers ✔ Invitations to special events ✔ Charitable causes ✔ Downloadable relevant content ✔ Gamification ✔ Sharable experiences Online Engagement Tools – Build Relationships
  100. 197

  101. 198

  102. 199 Final Words on Engagement… “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. 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
  103. 201 Visual Communication: The Next Step in Marketing If you

    haven't already heard, visuals can play a big part in boosting the performance of your marketing messages.
  104. 203 Global Online Video Viewing and Ad Spending Forecast Daily

    minutes spent watching online videos Advertising spend on online video
  105. 204

  106. 205

  107. 207 FIVE THINGS TO CONSIDER 1. 33% of viewers will

    stop watching a video after 30 seconds, 45% by one minute, and 60% by two minutes. (Ad Age) 2. 85% of Facebook videos are watched without sound, while 60% of Instagram Stories are watched with the sound on. (Instagram) 3. Social video gets shared 1200% more than text and images combined. (Wordstream) 4. 92% of users watching video on mobile will share it with others. (Wordstream) 5. Emails with video content increase click-through rates (CTR) by 200-300%. (Forbes)
  108. 225 MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine •

    Word of mouth • Advertisement • Social Media • Wine List 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 D E A L
  109. 228 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
  110. 231 There is a difference between knowing what stats mean

    and knowing which stats are meaningful. It all comes down to one thing: Does the metric help you make decisions? Final Word on Analytics
  111. 232 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?
  112. 233 • Wine club signup – Most traditional tasting room

    business model • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – Very effective when tied to click-to-call email digital campaign • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other – Use your imagination; can drive ecommerce conversion Customer Acquisition
  113. 235 “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
  114. 236 Rob McMillan SVB Blog March 2017 http://bit.ly/2nQHeeC “If wineries

    insist that clubs can only be built from people visiting the tasting room, you are purposefully ignoring the other 99% of the population that won’t ever visit your tasting room.” The Future
  115. 237 • Wine club signup – Most traditional tasting room

    business model • Newsletter signup form – Critical best practices – Let’s discuss • Email Campaigns – Critical best practices – Let’s discuss • Telesales – Very effective when tied to click-to-call email digital campaign • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other – Use your imagination; can drive ecommerce conversion Customer Acquisition
  116. 238 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.
  117. 239 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.
  118. 242 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 Newsletter Signups - Difficult
  119. 244 • 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 • Direct Mail, Catalog – Can still be effective; can drive ecommerce conversions • Social media, events, other Customer Acquisition
  120. 246 Email Still Rules: How Money is Spent vs. ROI

    *Source: Direct Marketing Association 2018
  121. 247 Some Basic Terminology Opening Rate = Total Opens /

    # Recipients Click through Rate = Total Clicks / # Recipients Click to Open Rate = Total Clicks / Total Opens** Cost per Click = Total Cost / Total Clicks Conversion Rate = Total Conversions / Total Visits Average Order Value (AOV) = Total Value / Total Conversions Cost Per Email Acquisition (CPA) = Total Spend / Total Conversions Return on Investment (ROI) = (Total Value / Total Spend) - 1
  122. 248 Important Email Metrics: Performance Benchmarks A Good Open Rate

    15 - 30%** A Good Click To Open Rate 15 – 30% **Wine Club Can Be Higher
  123. 249 Important Point of Clarity ⮚ Open Rate is just

    a measure of the subject line and time of day. ⮚ Click to Open Rate is a measure of the effectiveness of the actual content of the email. Please Note: Many ESP’s use Click Rate (# Clicks / Total Recipients)instead of Click to Open Rate. Make sure you are using the right metric.
  124. 250 Volume vs. Conversion Wine Club Red Whit e Cart

    Abandonment • Low volume • High conversion Browse & Process Abandonment • High volume • Lower conversion { {
  125. 251 Making Sense of the Types of Marketing Emails Typically

    branded affair, less personalized, predictable cadence. Triggered by a purchase, shipment, download, or registration (simply a confirmation) Triggered by pages viewed, emails opened, cart value, buttons clicked, video played, downloads. Triggered by # of days that have passed since a strategically important action (e.g. last purchase) Newsletters Transactional Behavioral Lifecycle
  126. 252 Email Marketing 1 - 5 "Think of how you

    can make the user love your mails rather than how to land in the Inbox." 1. Know your audience 2. Find Out What Subscribers Want and Honor and Deliver on That 3. Have a clear value proposition for subscribers and customers 4. Don’t just batch and blast – segment your list and use preferenc- based marketing data 5. Think “responsively” – make sure your emails are mobile optimized
  127. 253 "Think of how you can make the user love

    your mails rather than how to land in the Inbox." 6. Test different types of content and promos to see what generates the best engagement rates 7. Look beyond opens and clicks to measure success – spam complaints, unsubscribes, etc. 8. Test your promos carefully before blasting away 9. Use designated landing pages or guide customers to relevant product pages 10.Use an email marketing platform that guarantees high deliverability rates Email Marketing 6 - 10
  128. 260 Browser Compatibility Does your email look beautiful everywhere? Litmus

    software lets you preview your campaigns across 40+ real email clients and devices in minutes. It makes email testing easy.
  129. 261 • Make each email personalized to address the winery

    customer. • Examples – Use first name in greeting/offer – Reference customer state in shipping offer – Reference customer purchase history – Birthday or other special occasion emails Personalization
  130. 265 • Largest Web-based email service in the world •

    1.2BB Users • 20% of the World Market • 68.4% of incoming email messages are promotional • 75% of Gmail users open their email on a mobile device. • Has become the standard bearer for ad supported, consumer email services. DMR Business Statistics August 2018 Gmail achieves world domination
  131. 267 • Clean your data • Use “Headline Analyzer” or

    similar software to test headlines • Stop using the word “Free”, all caps, colored fonts, etc. • Try sending text format emails vs images. • Go light on imagery, links, and heavy content. • Provide a clear unsubscribe option • New – Test using emojis in subject lines … So what do I do now?
  132. 268 Please read my blog from February 2020 https://bit.ly/38t637D WHAT’S

    THE VALUE OF AN EMAIL? HERE’S HOW TO CALCULATE THE $ VALUE
  133. 270 Key Metric Benchmarks Annual Campaign 2X Emails per Month

    Emails Sent 1,000 24,000 Delivery Rate >95% Emails Delivered(Assume) 1,000 24,000 Open Rate >30% Opens 300 7,200 Click To Open Rate >20% Clicks 60 1,440 Conversion Rate >5% Orders 3 72 1,440 clicks x 5% conversion = 72 sales x $200 avg. sale = $14,400 sales = $14.40 per email annual value Winery Email ROI
  134. 271 • Your net revenue for the year equals $14,400/1,000

    emails, or $14.40 per email subscriber. • Assuming an average 3 year tenure for an email subscriber (LTV), net revenue jumps to $42.40. • Discount LTV by weighted average of Loyalty Coefficient. • Does not include value of email for promoting winery and offsite tasting events, etc. Let’s Summarize
  135. 273 MODEL OF CUSTOMER PROGRESSION DISCOVERY • Search engine •

    Word of mouth • Advertisement • Social Media • Wine List 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 D E A L
  136. 274 LOYALTY/LOVE • Email communication • Join Wine Club •

    Newsletter/Blog • Facebook shares • Special events • Ratings • Imagination Tell Me You Love Me
  137. 275 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
  138. 276 Retention Defined Actions a company takes so that their

    existing customers continue buying the services and products offered by that company in the future.
  139. 277 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. Think rewards points, wine club member discounts… Retention vs. Loyalty
  140. 278 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. Retention vs. Loyalty
  141. 279 Examples of Retention Tactics Email Email a digital gift

    card to wine club members still on the books after 12 months and 24 months MailChimp, Constant Contact New products or service announcements, curated content, member only special events Social/Blog Retargeting Sale events, targeting all traffic or purchasers only Facebook, Twitter, Wordpress Facebook, AdRoll
  142. 280 You Should Do Both Retention and Loyalty are two

    different types of marketing campaigns. You need both campaigns working in tandem as part of the ongoing customer conversations. Without these campaigns, businesses miss critical communication points that could result in bigger returns and longlasting relationships. Retention vs. Loyalty
  143. 284

  144. 286 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 • Lifetime Value – increasing spend and frequency from existing customers
  145. 287 Emotional loyalty demands: 1) Consistency across channels 2) Relevant

    and timely promotions 3) Customer intimacy; and 4) A real excite and delight element built on top of a standard “I’ve got great wine to sell at a good price” story. The DNA of Customer Loyalty
  146. 288 Delight Customers • Wine club discounts • Wine club

    special offerings • Club member events • Loyalty bonuses • Special access • The Unexpected
  147. 291 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
  148. 293 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. 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.
  149. 294 360-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.
  150. 295 Know Thy Customer What kind of relationship do you

    want to build with your target audience?
  151. 296 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 generated and why? 3. What are the desires and expectations of your target audience? 4. What is the level of product use? Are your customers loyal to you? 5. What are the most common objections raised by your customers? 6. Who are the actual decision makers (who has the final say)? Know Thy Customer
  152. 297 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.
  153. 298 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)
  154. 299 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.
  155. 300 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?