wrs intro 4.1.13 revised
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An overview of the marketing concept that is Wine RockStarsTRANSCRIPT
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Not for Public Distribution. ©2013 Wine RockStars, LLC All Rights
Reserved1
An Invitation from
Wine RockStars™™
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WINE ROCKSTARS™
Not for Public Distribution. ©2013 Wine RockStars, LLC All Rights Reserved
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“Some people have a hard time explaining rock 'n' roll. I don't think anyone can really explain rock 'n' roll. Like wine, rock 'n' roll is a lifestyle and a way of thinking... and it's not about money and popularity. Although, some money would be nice. So would some popularity. But rock 'n' roll is a voice that says, Here I am! But what it all comes down to is that thing. That indefinable thing when people catch on to something.”
Russell Hammond,Stillwater
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The Great Alan FreedTHE DISC JOCKEY WHO
COINED THE PHRASE “ROCK ’N’ ROLL”
discussion / contents pageWelcome 4
Every Picture Tells a Story 6
Crossroads 33
The Medium is the Message 42
Crossroads – Part Deux 57
Achtung Baby! 64
Its More Than RockNRoll Baby 69
Become a Rockin Good Winery 80
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Our purpose today is to invest the next 20 minutes
or so to introduce you to the marketing concept that
we call Wine RockStars™.
Not for Public Distribution. ©2013 Wine RockStars, LLC All Rights
Reserved4
Our purpose today is to invest the next 45 minutes or so to
introduce you to the Wine RockStars™
concept
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WELCOME!
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EVERY PICTURE TELLS A STORY DON’T IT
Begin the Beguine
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Rod Stewart
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We need to go “wayback”
in time to catch the
beginning of our story Michael J. Fox in
the movie Back to the Future
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"Sorrow can be alleviated by good sleep, a bath and a glass of good wine."
St. Thomas AquinasNoted Theologian, Raconteur of
White Wine, Mead, and a bunch of other stuff
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OOPS!We don’t need to go that far back in time, Marty. Let’s try
again to get it right this time.
ShermanChristopher Lloyd
Michael J. Fox
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Not for Public Distribution. ©2013 Wine RockStars, LLC All Rights
Reserved
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“Let’s start at the very beginning, a very good place to start…
Julie AndrewsSound of Music, 1965
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“Can you tell I’m about to retch right in my glass?
RockDoggie
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“Where are the Back Street Boys when you really need
them?” RockDoggie
BackStreet
Boys All Right!
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“Once more into the breach my friends.”
RockDoggie
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The Wine RockStars™
story actually begins the
pivotal year of
1 9 3 3
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Not for Public Distribution. ©2013 Wine RockStars, LLC All Rights
Reserved
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For the past 12 years the sale, manufacture, and transportation of beverage alcohol is considered to be a criminal offense.
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FDR, a noted lover of a nice Madeira, is sworn in as the 32nd President of the United States
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The GREAT Robert
Johnson is at the PEAK of
his career and is almost finished
“inventing” the modern
musical genre to become
known as the Blues.
No one really knows, but we suspect Mr. Johnson’s favorite wine was the highly rated Chateau Coutet, Barsac, 1934 which, unfortunately, was not always easy to find on
the dusty roads of rural Mississippi and Texas
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The movie “King Kong” opens to rave reviews in New York City on March 2, 1933
Ms. Wray was known to like French wine. Might we suggest a vintage 2004 California Cabernet instead?
Mr. Kong, however, was known to drink anything he could find that wasn’t nailed down! Such a pity.
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Influenced by Robert
Johnson, Muddy
Waters first picks up the guitar at the
age of 19 Our guess is that Mr. Waters would like a nice
Pinot Noir, perhaps the Domaine de la Romanee Conti (DRC), Romanee Conti GC, 1937
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Mr. president, might we recommend a luscious Sonoma County Chardonnay to go with that book on a sun filled Sunday afternoon. Your dog can drink, well…whatever
“Outside of a dog, a book is a man's best friend. Inside
of a dog it's too dark to read.”
The movie Duck Soup is released and Rufus T. Firefly is named fictional
president of bankrupt “Freedonia”
Groucho Marx
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Most important to our story, Great-Grandpa really wants a
drink!
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Long before Hannibal Lechter uttered his endorsement of the pairing of liver and fava beans, Great-Grandma was known to favor a nice Chianti”
“Look at Granny’s picture and tell me it doesn’t makes you think of flying monkeys.”
RockDoggie
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Few realize that
a NEW age is
DAWNINGHow about a “refreshingly
sweet” yellow tail pink moscato or a “light and lively” sweet white roo
and leave the Chianti to me?
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AND THEN ALMOST SUDDENLY IT HAPPENS
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Everyone Makes Money Again
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Ernest and Julio open their 1st
winery in Napa
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The 3-tier System regulating the manufacture, distribution and sale of
wine, spirits and beer in the US is introduced
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“Once, during Prohibition, I was forced to live for days on nothing but food and water.”
RockDoggie doing his best imitation of WC Fields
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GREAT-GRANDPA OPENS THE FIRSTRETAIL PACKAGE STORE
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And a Rockin good time was
had by all!
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AND THEN IN A TIME OF GREAT ANTICIPATION…
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“Wait for it…” RockDoggie
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…NOTHING CHANGES
for the next 80 YEARS
“I’m not surprised. Are You?” RockDoggie
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Why? Because despite its many benefits, the 3 – tier system has
created powerful interests that tend to resist change even when brought on by modern day market
forces.
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Market forces such as the economic drivers of production
and distribution; technological innovation;
legal, political, cultural
developments; and the forces of
globalization.
Insert your own snide comment here
RockDoggie
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The pressures of change will only increase over time and will soon become irresistible.
As part of his study of climbing plants, Darwin had a particular fascination with grapevines.
Darwin was particularly intrigued by the fact that grapevines
produce either tendrils (for climbing) or bunches of grapes
(for reproduction) opposite each leaf – a reminder that grapevines
evolved in a forest habitat 60 million years ago. The vine could adapt to a shaded environment
and climb to sunlight using tendrils, or, when at the top of the forest,
produce fruit.
“He Had a great like for dogs too! Especially the “Beagle” Thus endeth the lesson. LOL”
RockDoggie
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CROSSROADSWine RockStars™
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Eric ClaptonCrossroads Guitar Festival 2013
“Time for a little of the old slow hand.”
RockDoggie
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More popular than ever, with more choices being offered to the consumer, wine has increasingly become an important part of the national lifestyle
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In many respects the wine industry has reached a crossroads
“Crossroads” Catch the reference? Ha!RockDoggie
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• The fundamental consumer base has and will continue to change.
• There has been a sustained shift in consumption patterns away from bars and restaurants and more towards at-home consumption.
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In many respects the wine industry has reached a crossroads
Source: Beverage Information Group
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• Core wine drinkers are those who drink wine daily, several times a week or about once a week
• While marginal drinkers are those who drink wine less often than weekly—the greatest number of whom drink wine two to three times a month.
• In 2010, marginal wine drinkers represent 31 million U.S. adults, making the total number of U.S. wine consumers 77 million.
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In many respects the wine industry has reached a crossroads
Source: Wine Market Council Estimate
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• According to the Wine Market Council, the U.S. market gained 71 million cases in total table wine sales during the first full decade of the 21st century; creating the most transformative 10 years of positive change since the 1970s.
• In 2000, 57 percent of all U.S. wine drinkers were marginal wine consumers, but today the core and marginal proportions have reversed.
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In many respects the wine industry has reached a crossroads
“In my humble opinion, this one of the most positive signs of acculturation if there ever was one!”
RockDoggie
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• Part of that growth in off premise consumption is due to the fact that “occasions”—events worth purchasing or opening a bottle of wine for—are increasing in popularity.
In many respects the wine industry has reached a crossroads
Source: Wine Market Council Estimate
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• Consumers are finding more reasons to “celebrate” with a bottle of wine or drinking more wine when a bottle is opened.
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In many respects the wine industry has reached a crossroads
Wine Market Council Update on Jan. 18, 2013
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• Of all wine drinkers, 57 percent are now considered “core” wine drinkers, and they account for 25 percent of the United States’ adult population.
• This represents a major shift in repeat purchasers and adds to the promise of a brighter future.
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In many respects the wine industry has reached a crossroads
Demos
CoreNON-CORE
Wine Market Council Update on Jan. 18, 2013
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• This group consumes an astounding 93 percent of the 175 million cases of wine sold off-premise last year.
• Most importantly, data shows price points increase dramatically when wine is enjoyed with friends
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In many respects the wine industry has reached a crossroads
Wine Market Council Update on Jan. 18, 2013
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THE MEDIUM IS THE MESSAGEThe Sales Pitch
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"Making wine - that's the easy part.” "It's selling it that's hard."
Dario SattuiSattui Winery
Napa Valley, California
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We have to ask
ourselves: Regardless of
which channels we
are using, how effective
are we at actually
connecting with the all important consumer?
“The medium is the message” in our “global village”
Marshall McLuhanJuly 21, 1911 – December 31, 1980
“RIP, Dude”RockDoggie
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And how is that message being shaped in the mind of the consumer?
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Because of the 3-tier system, our messaging tends to come from the top down. For the average person, this can make our product appear scripted, complicated, and difficult to understand, even snobbish
“Well said!”RockDoggie
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Sometimes it seems that in our desire to create an air of “élan” around our
products we risk leaving the majority of consumers out of the discussion.
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After 3 or 4 glasses, this all makes perfect
sense to me.RockDoggie
We have created a multitude of tools so that the average
consumer can
understand the
message
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Much of which would become
unnecessary if we really knew how to connect with our consumer
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But the creation of
this connection
can be fleeting and the bond is
tied more to the venue
than to the producer
We also traditionally rely on the
Sommelier to make the connection between our
products and the everyday lives of our
consumers
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We also rely on the typical main street wine shop to build connections
with our consumers.
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RockDoggie
So how’s that working out for
ya?
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Which designed by men for men, typically looks
about the same as it did 80 years ago.
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Walk into just about any wine shop and just look at the shelves stocked full, and row upon row of open crates; each crate plumped with a dozen bottles of the same wine.
Not a single shelf or wine crate tells the real story of the product in the bottle.
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Even as our business migrates to the online store,
we seem to be recreating the
mistakes of the past by simply
duplicating the traditional retail
warehouse model on the internet
“Don’t bother me now. I’m counting clicks.”
RockDoggie
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The world has changed so much
since our Grandparents and
Great Grandparents first
shopped at the corner wine and
liquor store some 80 years ago.
And yet in so many ways our industry
has not.
RockDoggie
“Makes it all seem so truly quaint to me.”
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Many of the wines currently in the distribution system, most even—are unknown to the typical consumer, at least as far as the producer was concerned, and much too often even more than that.
“I cannot take your call right now, but if it’s an emergency, white with fish and red with meat.”
Alexis Bespaloff’s legendary answering-machine message
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CROSSROADS- PART DEUX
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• It turns out that both men and women view wine as a high risk purchase.
• They want to avoid being embarrassed in front of business associates or friends.
• Both men and women man-age the risk by getting information at the point of purchase—which is where 70% of the purchase decisions are made.
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Source: Emerald Group
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• Most of our messaging as an industry is traditionally geared toward men.
• Yet, 80% of wine buyers are women.
• The sources of information tend to differ, however, for men and women.
• Men have a stronger tendency to read reviews and even books.
• Whereas women will look more closely at the labels and shelf tags.
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Source: Emerald Group
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When I walk into a store I like all the
pretty labels to pick from. Its how I know they like me! They
really like me!RockDoggie
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• Its not surprising then that Brands with eye-catching names, and some with themes aimed at women consumers dominated the Top 20 New Brands of 2012 as picked from off-premise sales data.
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Source: Symphony IRI Group
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1. Skinnygirl,2. Be, 3. Bella Bottle, 4. Acronym5. Macaron6. Fancy Pants7. Thorny Rose8. Wine Sisterhood9. Flirt, and 10. Ooh La La
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“Another sign that the SUBSTANCE of the industry’s messaging is really connecting with consumers. My
personal favorite is Artisan Vintner’s Guild”RockDoggie
TOP TEN NEW BRANDS
Source: Symphony IRI Group
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Is it any wonder, then, that nearly $80 billion of product is sold every year through grocery stores at a price typically under $10.00?
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In the real world the past decade or two has challenged us to rip off our neckties, shed
our standard-issue business suits, and, most important, to
lose our Model T-type attitudes toward our business.
Bono, U2
Achtung Baby!
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The wine business today has become a high-stakes, high-risk, high-profile environment that is filled with uncertainty, ambiguity and opportunity.
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We have to accept the fact that business is only going to get weirder, tougher, and more turbulent.
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The next 5 or 10 years are going to be even more intensely competitive.
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We need to create new reasons and a new approach for consumers to reconnect with our industry and our brands.
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“Its MORE than Rock’n’ROLL BABY!”
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• When consumers find a toothpaste or a soda they like, they stick with it. The same is not true for wine.
• With thousands of wines to choose from and with wine being more of an adventure than other products, consumers are willing to try different brands much more frequently.
• In fact, with so many brands, it is often difficult for the consumer to remember the name of the brand they liked.
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“We can learn a lot by studying other
industries and other retailers”
From the Wisdom of RockDoggie
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• Consumers will; however, stick with a retailer that helps them get the right wine for the occasion.
• While consumers have lower loyalty to the wines them-selves, they have strong loyalty to their wine retailer.
• That’s why we created RockStars.
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Not for Public Distribution. ©2013 Wine RockStars, LLC All Rights Reserved 72
You've got the sun, you've got the moon, and then you've got the fruit
of the vine. Wine is one of real natural pleasures in life. So then
why do they make everything about it so bloody boring. There is just too
much stuffiness in the wine business.
Keith RichardsThe Rolling Stones
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We want to reintroduce wine to consumers in a wholly new way.
Our goal is to create a new customer experience and in
doing so we expect to broaden our market, to find a way to tell the story behind each label, and
to create new and lasting connections between the
producer and the consumer in a way that is fresh, exciting, fun,
entertaining.
BION BFF IMNSHO LIFE, like WINE is
MORE than a
LABEL BABY!
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We think that our customers deserve more. A whole lot moreAt every level Wine RockStars™ is designed to provide customers with a superior experience We plan to offer a very broad selection of productsWe will share our pricing advantages with our customersThis approach is virtually unprecedented in our industry
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Gene Faul, Co-Founder
Wine RockStars, LLC
From the beginning we set out with RockStars to be a different kind of
retailer
“I think Gene included the Homer Simpson cartoon (top left) as a not so subtle reminder to me that I can be easily replaced”
Almost GoneDoggie
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Focus
Purpose
Fun
Whether they shop at one of our participating retail stores or visit us online, we want them to have fun every time they shop with us.
We hope to pique their interest, spark ideas, encourage them to try new things and help them learn something new along the way.
Everything we do will be designed
around our customer.
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With something so great,
shouldn’t the wine people do a better job of
making the whole business
more approachable? The fact is wine
is really sexy, interesting, and
fun. So why doesn’t
somebody just say so?
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Our messaging will include equal parts irreverence,
information, expertise and outright fun!
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Our strategy with
RockStars™ is going to lean more toward
the improvisational and away from the top-down approach that
can seem stilted,
snobbish and scripted
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Rock Stars is a program to provide customers of all types
with access to wines of outstanding quality and value selected by an elite team of
wine professionals, Wine RockStars™, with decades of
experience. Through Wine RockStars™ we plan to create that indefinable thing when people catch on to
something
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BECOME A ROCKIN GOOD WINERY™
Wine RockStars™ Next Steps
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Wine to me is passion. It's family and friends. It's warmth of heart and
generosity of spirit. Wine is art. It's culture. It's the essence of civilization
and the art of living.
~ Robert Mondavi, Autobiography, "Harvests of Joy“*
* Please know that Mondavi Wines is NOT affiliated or associated in any way with and does not endorse the Wine RockStars™, LLC program. We just like the quote!
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If you agree with us that we need to recapture the passion, to
reconnect with family and friends, and that the products that we
produce should fill the heart with warmth and a gently generosity
of spirit, then there is a very good chance that you should seriously
consider joining with our RockStars program by becoming
a Rockin Good Winery™. Gene Faul, Co-Founder
Wine RockStars, LLC
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You have already been very generous with your time. Please take a few additional minutes to review the information being sent to you separately via e-mail.
We hope that you look on our program with favor and are available to answer any questions and to discuss your potential participation.
Kathleen HomyockDirector of Marketing
Co-founder, RockStars of Wine, LLC
(need additional contact details)