Building profitability through greater customer loyalty Issue Number 5
Customer Loyalty 15 September 2008
Program for Wineries
and Craft Breweries
Inside this issue:
Why wine regions appeal— Does your tasting
looking beyond great wines PERSONALITY?
A new report into food many of the offerings Drafting your 2
and wine tourism in that visitors are seeking contact plan
Australia has identified including providing a
that the artisan skills significant wine experi- Happy anniver- 3
and traditional values ence (the Muscat Trail), sary! Celebrating
associated with Ruther- the appeal of its location member loyalty
glen’s wine industry in North East Victoria,
remain important attractions and activi-
assets. ties and strong heritage US consumer 3
values. direct sales
It also highlights the continue to grow
positive move towards The report goes on to
redefining the region to identify the top six What makes us 4
attract a younger visitor attractions to a wine say ‘yes’?
The Food and Wine • Scenery and natural
Tourism in Australia beauty – 45% rants – 15% Points of interest:
report combines five
• Great wines and The Pinot Noir category
tourism research • Number of wineries in
wineries – 31% continues to show very
reports on Australian close proximity – 14%.
wine and food. It reveals strong interest from
• Accessibility and The report’s value is in
an increasing attraction both consumers and
distance from home – highlighting the variety
towards food and wine 30% trade and is the fastest
of reasons why wine
tourism as visitors seek growing red category
• Friendly knowledge- regions are appealing to
out more experience visitors. It is a reminder growing at 29% MAT at
oriented getaways. able staff and good the end of April 08
service – 16% that great wines and ap-
pealing cellar doors are (Nielsen April 08).
The report finds that • Food, including local not enough to sustain North East Victoria has
Rutherglen exemplifies produce and restau- (cont’d page 2) the highest concentra-
tion of boutique brew-
eries of any region in
Making email communications work for you Australia—six, with a
Email offers a convenient when the results do not many followed particular seventh brewery
and rapid means for us meet expectations. links. Analysing this in- planned to open at Mt
to communicate with our formation can help you to Beauty.
customers. A well- So what can you expect, dramatically improve the
planned and targeted and how do you do it well? response rates that you
email newsletter or cam- get to your future email
There are many systems
paign can provide a real
out there that allow you to
messages. Contact us:
boost to your business
send nicely formatted The first surprise that We’re from marketing
and can improve the rela-
emails to your client base. most people get when and we’re here to help!
tionship that you have
They allow emails to be they start monitoring
with your customers. But
personally addressed, to their email response rates Email or phone us:
getting it wrong can do
include links to content on is just how few people info@quercusmarketing
untold harm, and having
your website and to track even open the email in the .com.au
how many people actually first place. (cont’d page 4)
about likely outcomes Ph: 02 6033 2115
opened the email and how
can be discouraging
Why wine regions appeal—looking beyond great wines (cont’d)
(cont’d from page 1) a viable cellar the various “pull” factors specific
door business. to their region, whether that be the
scenery and natural beauty, the
accessibility of the region, the
standard of the wine, the people
“... recent analysis of and/or the food.
tourism strategies across
This is often best achieved on a
the country has
regional basis through regional
highlighted the need for associations taking the lead in
greater focus on a variety developing strong brand attributes
of visitor experiences at linked to the region’s underlying
A full copy of the report is avail-
able in PDF format by emailing
Wineries—and breweries—need to email@example.com.
extend their appeal by tapping into
Does your tasting room have PERSONALITY? Contact plan—drafting
When looking at the daunting task evident within five seconds of step- At the time of this newsletter
of merchandising your tasting ping inside the tasting room? going to print the next round of
room some of you have asked, visits will be well underway.
“Where do I begin?”
“Display is an avenue to A major focus of the visits is the
The answer to that question is to express the “personality” of contact plan—the annual road
ask another question, “What is your business. ” map of member contacts via all
your brand’s personality?” communication methods, includ-
ing despatch of the continuity
Display is an avenue to express Many of the tasting rooms I have packs.
the “personality” of your business. visited in North East Victoria are
It can build and support your interchangeable. By this I mean I A quick way of building the
brand and instantly transmit in- could take the brand name off one contact plan is to take a piece of
formation about your brand to the tasting room and put it onto paper and mark the months
customer. How you layout and another. They have no distinct down the left hand side of the
merchandise your tasting room “personalities” and mostly this is page, leaving enough space for
can create a unique visual state- driven by how the tasting room is notes under each month. Then
ment that will give you a distinct merchandised. The actual wine add the known activities for every
advantage over hundreds of tast- brands DO have distinct identities month where something hap-
ing rooms around the country. but this is not being communi- pens, such as when packs are
cated visually in the tasting rooms. despatched and newsletters
If you truly understand your emailed. This provides the plan
brand’s personality then beginning So my advice would be to step framework.
the process of looking at your tast- back and reflect and critically
ing room’s layout and design will review on your tasting room’s per- Now add more contacts
be a simple one. If you have a clear sonality and ensure it aligns with (administrative, loyalty and sales)
message to convey with a strong the brand aspirations you have for using the spreadsheet provided
brand focus then you are half way business. After all the tasting at the first seminar as a memory
there. room is the physical and spiritual jogger. Finally the plan can be
home of your business and the polished by adding specific dates
If your brand is about family and or weeks by which the activities
history does your tasting room re- impact here on will be instrumen-
tal in creating both the immediate will be completed.
flect that? If it is has a stylish,
modern approach to wine is this and long term impression in the Remember to keep the plan
reflected? What about proud Ital- minds of your visitors. manageable for yourself and con-
ian heritage or an undisputed skill Kristy Taylor, Cirko V. tact frequency acceptable to your
with fortified wines, are these members.
Page 2 Customer Loyalty Program for Wineries and Craft Breweries
Happy anniversary! Celebrating member loyalty
There are three great reasons to
recognise your members on the
anniversary of the day they joined birthdays sail by sans fanfare.
And as for Christmas, we don’t
1. Loyalty longevity and recon- want to upstage the man in red
nection and bottles are much better arriv-
ing in dozens, than finding a single
A surprise gift or advice of an extra bottle in one’s stocking after all . . .
membership benefit (such as
access to older wines or a higher 3. Big impact
membership tier) received by a
member on a key anniversary date So stand out from the crowd. Your
is recognition of loyalty and a members’ nearest and dearest are
strong driver of the all-important going to remember birthdays, wed-
‘perception of value’. Planning ding anniversaries and Christmas,
2. Low risk well assuming they are married to
these annual loyalty drivers (what
is the message or gift, when does it someone less forgetful than my
With the best intentions in the nearest and dearest . . . So make
get sent and to whom) needs to world, recognising a member
occur as part of your ongoing a bigger splash and create a new
couple’s wedding anniversary with important date in your member’s
loyalty contact program. a congratulatory bottle of wine can personal calendar, “my wine club
misfire. With so many marriages anniversary”.
hitting the rocks your well-
intentioned gift of wine may end Susannah Doyle, Marketing Write.
up drowning some sorrows rather
“For those of us of a certain age than aiding in a celebration.
birthdays are more a time for
putting one’s fingers in one’s For those of us of a certain age
ears, closing one’s eyes and birthdays are more a time for put-
reciting loudly “la la la”. ” ting one’s fingers in one’s ears,
closing one’s eyes and reciting
loudly “la la la”. So perhaps we
should let some member’s
US consumer direct sales continue to grow
A recent report on direct-to- more than 10 million bottles direct- e-commerce 10% and 3% each for
consumer (DTC) programs in the US to-consumer each year. events and all other DTC programs.
has revealed that sales in all three The report concluded that winery Within technology, some wineries
major DTC channels (tasting room, size does not determine DTC complain that their consumer-direct
wine club and e-commerce) success. With DTC dedication and efforts are hindered by a lack of a
increased significantly during 2007 expertise even small wineries can single, integrated database that
compared with 2006. The increases effectively compete alongside large contains all customers and their
were experienced across the board wineries. Unlike any other aspect, purchase histories. However, among
for small, medium and large the consumer direct sales channel is the 66% of wineries that do have an
wineries. the great equaliser in the wine integrated database, just over one-
The survey also found that wineries industry. third feel they are getting “good value”
of all sizes are planning to increase out of it while 29% feel they aren’t
Regardless of size—big or small— getting real benefits.
the percentage of wine they sell wineries that are most successful at
through DTC channels, building on direct sales have some key things in It is apparent there are common
the success they are already enjoy- common: planning, execution and database issues on both sides of the
ing in the direct sales market. On tracking consumer-direct sales Pacific. The next newsletter will
average wineries that were selling programs. present more results from this report,
more than a third of their cases especially relating to club options,
through DTC channels last year “DTC Heroes” also have a strong average club sizes and price points.
expect to increase this to almost half foundation based on tasting room
of all case sales within five years. sales. Tasting room sales account for Source: 2008 Consumer Direct Sales
55% of their DTC case sales while Survey Report, US Wine Business
Collectively survey respondents ship wine clubs account for 29%, Monthly, August 2008.
Issue Number 5 Page 3
Making email communications work for you
(Cont’d from page 1)
This applies even when your mailing list consists of people who have
specifically requested that you send them emails. There are many reasons
for this, including spam filtering (at the ISP level, at the workplace level for
P: 02 6033 2115 business email addresses, or at the local computer level). In most cases
M: 0407 176 919 the email simply never reaches the subscriber, and neither you as the
firstname.lastname@example.org sender nor the recipient will know this. With most of us getting many
in association with emails each day now, it is also easy to accidentally delete such an email
Marketing Write & WangNET without opening it.
In other cases if you send an email in HTML format (ie with nice pictures
and formatting in it) but the recipient is using an email program that
cannot display HTML (or has that ability turned off as a safety measure)
then the email itself will come through as just gibberish and so be deleted
without being read. This means it is important to use email software that
actually creates two versions of your email – one the nice glossy HTML
version, and the other a simple plain text version. The correct version will
then be shown to the recipient according to the capacity and preferences of
the recipient’s email program.
Of course, there is also a lot of bogus email out there. Some of this is just
spam but sometimes it contains malicious software such as viruses or
keystroke-logging Trojans and it can be difficult at times for the average
person to distinguish between genuine emails and bogus ones. Including
personalisation such as the first name of the recipient goes a long way
toward addressing this. Also, complying with the Spam Act 2003 by
including full details of the sender plus a method of unsubscribing not
Program auspiced by Alp only keeps you on the right side of the law but helps to show that the
Valleys Agribusiness Forum email is genuine.
All good mailing systems allow personalisation and comply with the
requirements of the Spam Act.
Getting to ‘yes’
So let’s assume that you have been successful in getting the email through
and the recipient has opened it. What then?
“What makes a person say yes You need people to actually do something once they have opened your
is the value – WIFM: ‘What’s email. So you need to make it interesting, and most importantly you need
in it for me?’ to include a “call to action” or a request that they click on a link or check
“For ‘traditionalists’, it’s all out an offer. Failure to include such calls to action is a common cause of a
about the price, a deal, a poor response to an emailing.
discount, function, feature
and urgency. It doesn’t Once the customer has actually responded to your invitation and has
matter if the salesperson is on clicked on a link to an offer, you need to have some method of follow up
the phone, at the front door or such as a thank you or an indication of when they can expect to receive
behind a counter, those their goods etc. Fortunately a lot of this can be automated too, including
things will drive the sale for 8 through the using of the emailing software or through email
million Australians. autoresponders.
“The ‘neo-consumer’ [on the Some popular email systems include Vision 6, Constant Contact and
other hand] is more con- iContact, but there are many others. All offer a free trial period so that
cerned with how it feels and you can evaluate if the system is right for you. Some Content
whether the item has a sense Management System websites also offer the ability to include this
of investment or will become capability directly integrated with your website, allowing you to include
more expensive or valuable extracts of website content and direct links to more details in the email
later on. that you send.
“They are two entirely differ- If you have been sending out bulk emails from your own computer,
ent sales cases.” chances are that most of your emails are not getting through, and you are
From Ross Honeywill, con- probably getting frustrated with the amount of effort that is involved in
sumer behaviourist and sales doing it. It’s time to check out the better alternatives.
trainer, the Centre for
Customer Strategy. Geoff Turnbull, WangNET.