WMC19: Google’s View of the Wine World

What can Google tell us about wine consumption, wine tourism, consumer behavior, and industry trends? As it turns out, quite a lot! This session will explore how people are searching the web to make decisions about what wines to purchase, where to travel, what varietals to try, and much more. The information will be relevant both to industry participants and to writers who are looking for that next trend for an upcoming article or post. Presented by Damien Ferreira Gomes, Google Travel

1. Damien Ferreira-Gomes, Senior Industry Manager, Google Emerging Wine Industry And Consumer Trends WMC19
2. 4 Key takeouts In just 5 years, travelers from China will outnumber those from New Zealand nearly 2:1, those from the US 3:1 Organic Wines are booming! Rosé is a "recreational" drink Expectations and Experiences vary according to the demos Innovation and Apps are key for 18-34 year-old
3. Proprietary + Confidential French from Toulouse Moved to Australia 10 years ago Worked at Google for 8 years Still find wine very expensive but greater choice Finally Organic and Rosé are booming Gevrey - Chambertin Clos St Jacques 93 A little bit about me!
4. Proprietary + Confidential We are a passionate team of travel experts based in Sydney looking to help travel clients thrive online, while achieving sustainable long term growth. We provide consultative support on export insights & strategies as well as Brand & Paid Media best practices to expand travel businesses beyond domestic markets. What we do at Google
5. Proprietary + Confidential Why does someone from Google Travel present at WMC19?
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7. Proprietary + Confidential Harvesting Tourism Trends Crushing and Pressing Consumer Insights Fermentation Emerging Wine Industry on Google Clarification The Three Wine Trends In The Next 12 month Ageing and Bottling Client Case Study Today’s Agenda
8. Harvesting Tourism Trends
9. Australia will reach the 28 million mark by 2026 – driven predominantly by immigration. Source: https://www.tra.gov.au/International/International-tourism-results/overview - Latest International Visitor Survey - Year Ending March 2019
10. China has officially overtaken New Zealand as the number one origin country for visitors to Australia. 1.3 million visitors, +3% Spend $12 billion, +10% Source: https://www.tra.gov.au/International/International-tourism-results/overview 1.3 million visitors,+2% Spend $2.6 billion, +2% 343K visitors,+15% Spend $1.7 billion, +12% 673K visitors,-4% Spend $3.3 billion, -5%
11. International Visitors and spend by state YE March 2019 * Total number of visitors by state will be greater than total number of visitors for Australia Source: https://www.tra.gov.au/International/International-tourism-results/overview
12. Wine tourism focus With a rapidly growing middle class that is eager to travel, China has become an important source of tourism for Australia, with this growth cascading into winery visits Source: ¹ Tourism Australia- http://www.tourism.australia.com/en/markets-and-research/market-regions/greater-china.html ² Drinks Central- http://www.drinkscentral.com.au/4751?Article=chinese-wine-tourism-to-australia-increases-300-per-cent ³ Ma, E. Duan, B. Shu, L. Arcodia, C. (2017) Chinese visitors at Australia wineries: Preferences, motivations, and barriers. Journal of Tourism, Heritage & Services Marketing, Vol. 3, No. 1, pp. 3-8, 2017 4 https://thewest.com.au/travel/food-wine/was-green-image-could-attract-chinese-tourism-gold-ng-b88550046z Motivations and barriers The major motivations: 1. Curiosity 2. Recommendations from friends 3. Uniqueness of a winery visit The major barriers: 1. Cost 2. Language barrier 3. Service attitude Future Opportunities According to Professor Huang, professor of tourism and services marketing at Edith Cowan University, successfully communicating the ”green image” of Australia is the key to attracting more Chinese middle class tourists
13. Crushing and Pressing Consumer Insights
14. The 5 global & local trends having the biggest impact on demand Millennial & Gen Z Values Health & Wellness Premiumisation (at-home consumption) Evolving Occasions Connectedness Innovation
15. Expectations and Experiences vary according to the demos
16. Fermentation Emerging Wine Industry on Google
17. Proprietary + Confidential Traditional Search Results Shopping Ads Knowledge Panel Paid Search People Also Ask or Searches Related To Video Results Local Search
18. Proprietary + Confidential Wine is the top searched alcohol category in Australia 20M Searches for Wine in the last 12 months +15% YOY Source: Google Internal Data, Oct 17 - Sept 18, 1sf
19. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries There are many different ways of searching for wine naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale pinot noir shiraz
20. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale pinot noir shiraz Type of Wine
21. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale pinot noir shiraz Type of Wine Grape varieties
22. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale pinot noir shiraz Type of Wine Grape varieties Brand
23. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale pinot noir shiraz Type of Wine Grape varieties Brand Wineries
24. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale wine pinot noir shiraz Type of Wine Grape varieties Brand Wineries Region/Country
25. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale wine pinot noir shiraz Type of Wine Grape varieties Brand Wineries Region/Country Retailer
26. Proprietary + Confidential mulled wine penfolds dom perignon mclaren vale wineries organic wine chardonnay french wines brown brothers rose wine australian wines hunter wines red wine top wineries sauvignon blanc port phillip estate chianti chandon hunter valley wineries naked wines wine vintage cellars winery stardew valley barossa valley champagne dan murphys yarra valley wineries cellarmasters vinomofo wineries port moscato barossa wines mclaren vale wine pinot noir shiraz Type of Wine Grape varieties Brand Wineries Region/Country Retailer Organic
27. Proprietary + Confidential Rosé Is Trending With A 35% YoY Growth Category Search Volume YoY Growth Champagne & Sparkling 5M 12% Red Wine 4M 10% White Wine 1M 12% Rose Wine 0.5M 35% Wine* 10M 16% Source: Google Internal Data, Oct 17 - Sept 18 *When a brand has wines of different categories (e.g. brown brothers wines) or the category wasn’t identified.
28. Proprietary + Confidential Among Brands, Penfolds Is The Top Searches, While Mumm Is Growing 25% YoY Brand Search Volume YoY Growth Penfolds 702K 10% Chandon 435K 14% Brown brothers 300K 14% Jacob's creek 211K 14% Veuve clicquot 210K 15% Wolf blass 180K 0% Mumm 140K 25% Dom pérignon 139K 8% De bortoli 123K 10% D'arenberg 119K 95% Source: Google Internal Data, Oct 17 - Sept 18
29. Proprietary + Confidential Red Wine Is Responsible For The Winter Spike, While All Categories Spike During “Summer Time” Source: Google Internal Data, Oct 17 - Sept 18 Champagne and Sparkling Red Wine Rose Wine White Wine
30. Proprietary + Confidential You Can Use Our Free Tool Google Trends To Know Interest Over Time https://trends.google.com
31. Proprietary + Confidential The Brand Category Is The Largest, With 35% Of Wine Searches Brand Winery Broad e.g. wine Type e.g. shiraz Region Retailer e.g. DM Organic Country 35% of queries are for Brand terms, growing 15% YOY Source: Google Internal Data, Oct 17 - Sept 18
32. Proprietary + Confidential Branded Search Queries Are Largely Based Around Champagne And Red Wine Brand Winery Broad e.g. wine Type e.g. shiraz Region Retailer e.g. DM Organic Country Champagne Red wine Rose wine White wine For the wine brand searches for which we can distinguish ‘Grape varieties’, the majority are for Red wine and champagne Source: Google Internal Data, Oct 17 - Sept 18
33. Proprietary + Confidential 4 pillars shiraz gin 19 crimes cabernet sauvignon 19 crimes red blend 30 mile shiraz 30 mile shiraz 2016 2012 penfolds grange aldi shiraz amelia park ironstone shiraz 2014 amon ra shiraz angove shiraz arrogant frog shiraz audrey wilkinson moscato audrey wilkinson shiraz audrey wilkinson vineyard Understand The Rising Queries To Influence Merchandising Strategy azalea shiraz bad henry shiraz banrock station crimson cabernet banrock station menu banrock station pink moscato bay of stones shiraz billecart salmon rose billi billi shiraz billy's shadow shiraz bin 28 kalimna shiraz 2015 bin 28 penfolds bin 389 cabernet shiraz 2015 bowen estate shiraz brown brothers moscato sauvignon
34. Proprietary + Confidential The Fastest Growing Categories Are Based On Country And Organic Brand Winery Broad e.g. wine Type e.g. shiraz Region Store e.g. DM Organic Country YOY growth in queries Source: Google Internal Data, Oct 17 - Sept 18
35. Clarification The 3 wine trends you can expect to see more of in the next 12 months
36. Proprietary + Confidential 1- While the wine category is forecasting a slight decline, organic will continue to rupture
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38. Proprietary + Confidential Wine consumers are extremely interested in hearing about how healthy their consumption choices may or may not be https://trends.google.com
39. Proprietary + Confidential Today’s consumer is aware that nutrition and dieting can affect their overall health
40. Drivers to purchase are the same overall core drivers as regular wine, with additional health and environmental aspects… Alcoholic Impact Same as regular wine – a social lubricant or for relaxation Key Wine Drivers Effect Image Taste Trendy, Leading Edge A current trend in wine, suggests drinkers are ‘in the know’ Enjoyable Flavour May taste different to regular wine but needs to be in a positive way Additional Organic Wine Drivers Environment Feels ‘Better For You’ Less chemicals ingested (pesticides, many presume also less additives in production) Better For the Planet Less chemicals in the earth; some also presume less machinery used in production Health
41. Proprietary + Confidential 2- Sales of Rosé have soared in recent months. How can you make Rosé the #1 "recreational" drink, beating long established cocktails?
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43. Proprietary + Confidential Australians are drinking more rosé because our lifestyle and climate. Rosé is a global phenomenon Millennials contribute to the rise of rosé
44. Proprietary + Confidential Rosé is considered as a "recreational" drink, day drinking
45. Proprietary + Confidential 3- With Connectedness And Innovation, More Wine Apps will be built for budding oenophiles
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47. Ageing and Bottling South Australia Tourism Commission Rewards Wonder
48. Proprietary + Confidential The 120 Hour Ad (& More) That Put SA Back In The Spotlight
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53. Proprietary + Confidential Record Growth for the Chinese market China Visits +32% 60,000 Total expenditure $389M
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55. Proprietary + Confidential “I believe that great happiness awaits those men who are born where good wines are to be found” – Leonardo da Vinci.
56. Thank you Damien Ferreira-Gomes Senior Industry Manager Google AU dgf@google.com