sell more wine online - shipcompliant direct 2016 - jim agger
TRANSCRIPT
SELL MORE WINE ONLINE
Single men typically
change their bed sheets 4 times/ year.
Source: Guardian UK
2010 2011 2012 2013 2014 2015
2.66million
2.93 million
3.17million
3.5million
3.9million
4.19million
DTC Wine Is Growing
2010 2011 2012 2013 2014 2015 2016
167.3billion
194.3 billion
224.2billion
256billion
289.8billion
325.2billion
261.9billion
Ecommerce is Growing
Wine Apparel Electronics Books General Retail
It’s easy to see this doubling or tripling
3%
14%
35%
74%
9%
Wine Being Sold Online Is Small
1400+ Ecommerce Sites on Vin65
2013 2014 2015
308million
528million
772million
Vin65 Platform DTC
2016
One billion dollars
2013-2015
Over 9 million transactions
Across 1,200+ winery websites
$1.79 Billion in sales
89% of all sales.
Through 2015
Source: Warner Bros. Picture
What makes the top 20% so special?
Do they have an unfair
advantage?
Source: Hasbro
Case production?
Big Scores?
High Bottle Price?
Location?
Demographic focus?
Source: Pando.com
So what does the data tell
us?
top 20% bottom 80%
9%
24%
41%
26%
Admin Club POS Web
13%
23%
57%
7%
Admin Club POS Web
3x more ecom!
Purchases on Mobile in 20152014 2015
top bottom
Average email list size.
4X larger
2013 2014 2015
bottom top
$100 more
Average Order Value.
75% more
Top 20 Bottom 800.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
Shipping as a % of sales
50% less
Email list is 4x largerAOV is $100 more
Shipping is 50% less
How is the top 20% different?
What does the data show us?
Ecommerce Isn’t Easy
46 wineries 2X’decom sales in 2015.
..up by 130%
How did they
double?
1) Used offline to drive online sales.
Action emails
Offline to Online, a case study
$2,500 in net new ecom sales
63% opened, 7.5% converted
89 emails captured and sent.
89 TR Transactions ($7500).
What’s the value of an action email…TR transactions/ day 50Email capture rate 50%Action email sent 257.5% conversion rate 1.875AOV $318
Net new ecom sales (day) $ 596.25
New sales, annualized $ 131,175.00
Email receipts are appealing to 41% of consumers
No Yes
41%
How Do You Capture Emails?
Pay Your Staff $1 Per Email
Use Kiosks
Email Is The Most EffectiveDigital Marketing Tactic
What Makes A Great Email?
Single Focus
Simple Is Better
Personalize
Transaction Email
Two Other Things About Email
Time To Send
Sunday Monday Tuesday Wednesday Thursday Friday
26.5%
29.4%32%
30.1%
26.5%28.1% 27.4%
Saturday
Vin65 Platform Email Open Rates
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Average 26% Open Rate
How did they double?
2) Focused on user experience
What Makes A Great User Experience?
Seamless Responsive Design
Desktop Mobile Tablet
Traffic is Mobile in 2015
35%
#mobilegeddon
Source: marketingland.com
Mobile Friendly email is essential
General Retail Stats
Almost 1/3 of sales are mobile
Make it easy to buy on mobile
Simplify The Page
Simplify Forms
Secure
Faster
Shop Your Own Site
The Experience Doesn’t EndWhen The Checkout Happens
Order Confirmation
Order Has Shipped
Order Delivery Date
Delivery Exception
Real-time Shipment Redirect
SMS Messaging
3) Loyalty Programs
Why Shipping Incentives?
Will add items to cart to qualify for free shipping
Will join a loyalty program to qualify for free shipping
Source: UPS Pulse of the Online Shopper Report
58%
31%
Will take action to qualify for free shipping
93%
Reason for cart abandonment: higher than expected shipping costs
#1
Carrot Engine
SHIPPING INCLUDED ON SIX OR MORE BOTTLES
Yes, you can do it.
Loyalty Programs
Does it work? Yup.
+108%Consumers spend 108%
more after joining 46Brix.
Offline to OnlineUser Experience
Loyalty Programs
How did new entrants double?
1. Use offline to drive online sales
• Get action emails setup
• More more paper receipts
• Pay $1 per email
• Killer subject line
• Mobile Ready
• Single focused
• Personalized
2. Send great emails
• Test free shipping over discounts
• Offer free shipping a a reward for buying more
bottles
• Build or join a “prime” like shipping program
3. Embrace free shipping included
Thank you!
Interested in doubling this year?