Dijon Speech

Post on 05-Dec-2014

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My speech to the School of Burgundy about the intersection of wine and digital.

transcript

CONFIDENTIAL

•  The Perfect Storm"•  How digital tools are forever changing the

way we sell and market wine"

The Perfect Storm"

How digital tools are forever changing the way we sell

and market wine"

Unprecedented competition for mindshare.

Wine Label Registration Growth

Projected *Source: Advertising, Labeling and Formula Division, TTB

Total number of COLA applications through the TTB in 2008 was approximately 133,427*. This number increases on an annual basis by approximately 5,000 labels

Unprecedented competition for mindshare.

ADDRESS: 1250 Main Street Suite #270 Napa, CA 94559 ͽ PHONE: 800.605.8265 ͽ WEB: vintank.com ͽ EMAIL: info@vintank.com ͽ TWITTER: twiƩ er.com/vintank ͽ FACEBOOK: hƩ p://bit.ly/14R1mf

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CONFIDENTIAL

•  Business has no geographic boundaries.

•  Ideas have no geographic boundaries.

•  Communication across borders is easier than ever.

•  We are economically linked.

The US Funnel •  Though it is reported that there are over 4000K wholesalers in the

US each state 2 or 3 control the vast majority of distribution."

•  The top 5 wholesalers in the US (Southern, Glazers, Republic-National, Charmers, and Youngs) together have revenues of roughly $23 Billion."

•  Shanken IMPACT  Newsle-er  in  2010   reports that the top 6 distributors control over 50% of the marketplace."

•  From 2006 - 2010 it is reported that wholesalers spent $82 million dollars in lobbying and campaign contribution dollars."

•  In contrast wineries spent approximately $16 million on the same activities. We are grossly out gunned."

Wine is Mainstream In the US

329.7 Million Cases

Quality . . . from EVERYWHERE

Great Wine from Everywhere

2002 Chaupi Estancia Palomino Fino Yaruqua, Ecuador

The Great Print Decline

Leaving Maybe 25 Power Critics

“It is a bull market for free content.”

Tyler Coleman – Dr. Vino

Liberation with Complexity ala Granholm vs Heald

No it’s not the Apocalypse

16

“Search is fiber that connects the internet” Doug Cook – Ablegrape.com

CONFIDENTIAL

Buying Online Continues to Grow

New Essential Elements

•  Digital Wine –  E-commerce

– Mobile –  Social

–  Service companies

Social Media has become the most pervasive

communication technology next to

email.

Confusion

Business Development

Business Intelligence

Smart Phones Have Become Smarter

And the Dominant Force to Access the Internet

Smart Phone Usage

What the ?

By 2017, CMO’s will spend more on IT than CIO’s - Gartner

You got your chocolate in my peanut butter

Wine + E-commerce = $500 Million

Wine and Social Media

It is experiential

New access

Cost

There is no panacea in wine anymore! Email – 2.9% at best? Direct Mail - .5% - 1.5% is good? Advertising - #really? Events - #drunk_fest and waste of $ Publicity – Hope and a prayer Wholesalers – In the 1970’s Telemarketing – 1 by 1 . . . sounds like . . . Social media - 1:Many but still 1:1

If you make customers unhappy in the physical world, they might each tell 6 friends. If you make customers unhappy on the Internet, they can each tell 6,000 friends. -Jeff Bezos

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Social is the lens to discovery on the web.

For people under 40, 70% of the content they read online has been written by somebody they know.*

Consumer generated content is on the rise.

*Forrester

Winning brands are transforming into media companies

“Content will be the future of advertising, people distributing and creating content for your brand will be the barometer of

your advertising success.”

Barry Schuler – former CEO AOL/Time Warner/CEO Meteor Vineyards

Business Intelligence

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The New Critic:

The New Critic:

The New Critic:

The New Critic:

The New Critic:

The New Critic

The New Critic

The New Critic

300 million social conversations about wine

35 Million “quality” conversations.

Over 10 Million Social Wine Customers

CONFIDENTIAL

What does it all mean?

Wine online. We believe.

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•  •  @pmabray

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