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WineDirect Admin
 
May 22, 2009 | WineDirect Admin

CONDITIONAL DISCOUNTING = LONG TERM BENEFITS

No one is fooling anyone. The discounts that are flowing to wine consumers these days are many and frequent. However, if you choose to offer your mailing list members a discount, think about linking that discount to something that brings you long term benefits rather than just a quick hit: Consider offering a significant one-time discount to anyone who joins your wine club.

Consider the Wine Club, for instance, that delivers four shipments annually to members and costs $200 per shipment. That price probably includes a 20% discount on the price of the wine included in the shipments. Now consider that the average wine club member will stay in your club for at least 3-4 shipments. Even if you offer mailing list members a 50% discount on a package of 4 wines if they join the wine club, you come out ahead in the long run financially, plus you are likely to create a real evangelist for your wines—assuming you do what should do with wine club members—treat them like kings.

The benefits of accumulating new wine club members far outweighs nearly any pain that comes with momentarily or conditionally discounting your wine.
 

WineDirect Admin
 
May 21, 2009 | WineDirect Admin

Lesson Learned

As a manager (and parent), I am a believer that the key to learning is making mistakes. That is, if you make the effort to evaluate your mistakes and then do things differently next time.

Technology companies use post-project reviews, or “post mortems” as a method to conduct this type of analysis. However, any business can benefit – if you set out to accomplish an objective within a specific period of time, you’ve got a project ripe for review. Think about barrel tasting events, winemaker dinners, in-market visits, auctions, wine club runs, etc. An effective post-mortem will help you identify:

  • what went well
  • what didn’t go so well
  • areas where you can improve
  • how to achieve that improvement

There are three primary stages to an effective post mortem:

  1. Preparation
  2. The Meeting
  3. Follow-Up

Preparation
First, determine who will participate. At a minimum, require attendance of all the people who performed the day-to-day activities. It can also be informative to invite everyone who was at all a part of the project, from budget planners to the executives who set company direction. Once you’ve decided on your list of participants, choose a meeting facilitator. If you have the luxury of assigning someone who was not directly involved in the project, that can help in that they are more likely to be impartial. Otherwise, just make sure to put on your impartial observer hat. You will also need a designated note-taker.

Perhaps most importantly, set your intentions, goals, and agenda for the meeting in advance and distribute them to the team. This allows the participants to prepare on their own which makes the meeting go more efficiently and helps everyone stay on track. Consider also posing questions ahead of time to spark ideas and reflection.


The Meeting
Set any rules you might have at the outset. For instance, “be constructive and respectful”. Reiterate your intentions and objectives, then start working your way through your agenda (with time constraints noted). Sample topics include:

  • Process & Planning
  • Communication
  • Roles
  • Acknowledgements

Some Tips:

  1. Choose a meeting style and surroundings that match your company culture. It can refreshing to be removed from the usual work environment as well.
  2. Starting out by reviewing the original project timeline can help ground the meeting and set the scope as well as identifying areas that required time adjustments.
  3. Critical to evaluating the success of any project is an analysis of the stated goals compared to the project results.
  4. As the team talks through communication issues, it is likely that future role definition takes shape.
  5. Be sure to acknowledge all the things that went well, note areas that surpassed expectations, and emphasize any exceptional performances.

Follow-Up
Write up the meeting summary, highlight any process improvement suggestions, and capture the noted action items. For instance, during the meeting you may have created a list of materials that need to be created or improved, or discovered an adjustment to team roles, or recommended that each project begin with a kick-off meeting with all the key players along with a project plan to indentify all the necessary tasks with assignments noted. Finally, distribute your summary to the project stakeholders.The next time you embark upon a similar project, you will have a blueprint and list of improvements to take advantage of during your planning. Then you will have a whole new set of events to learn from and refine.

I’d love to hear if you have tried this type of exercise and if you have any tips to offer. There is always more to learn!

WineDirect Admin
 
May 15, 2009 | WineDirect Admin

Breaking The Slump

I just finished reading an entertaining book, Breaking the Slump by Jimmy Roberts. Roberts is a sports reporter for ESPN, ABC, and NBC. The book is specifically about golf, but the lessons learned from the dozen or so golfers he interviewed can easily, and I believe successfully, be applied to life in general.

The overriding theme of the different stories profiled is that; one, everyone will hit a slump, and two, you’re in a slump because something changed. It’s amazing to me that these highly skilled professional athletes, who spend thousands of hours practicing, would have something as fundamental as the way the hold the club, change over time. For most of them, the way they broke out of their slump was to get back to basics. Some returned to their first coach, others went back to old equipment they use to use, others simply started enjoying the game again.

So how does this apply to business, and specifically the wine business. My principal skill set is sales. I’m pretty good at it, and have had a fair amount of success. I’ve also had slumps. Weeks, even months, when I couldn’t close a deal. Most often it was due to one of two things. I had either lost my enthusiasm for what I was selling, or I had stopped doing the basics and just jumped to the end game. If I’m honest with myself, I’ll admit I had stopped working as hard as I had to, and tried to coast on my past successes.

How many wineries are in a slump today? Easy to blame it on the economy, and maybe that is the total reason. However, I suspect that some of us have strayed from the basics that built our business in the first place. Do we spend time in the tasting room connecting with our customers, or do we leave that to the staff? Have we picked up the phone and placed a call to some club members, or have we just been too busy for that? How about market visits? Have we spent time in the trenches with our distributors? Have we looked at our pricing in relation to our competition? Most importantly, are we, and our staff, still enjoying what we are doing? Are we letting the pressure of todays market dampen our enthusiasm, and reflect in our dealings with our customers?

Is there a magic pill for breaking out of a slump? Unfortunately,no there is not. Most often it is as elemental as remembering how you became successful in the first place, and returning to those actions.

Good luck, and good selling,

Mitch

WineDirect Admin
 
May 14, 2009 | WineDirect Admin

Design your Store to Sell

Periodically, take a moment to step back and look at your store. Are you maintaining it regularly? Does it have a clean, tight presentation? Here are a few high level tips and suggestions to help you wipe the dust off your store.

Storefront
Your store landing page is one of the most important pages within your site. Make sure that it’s intuitive and easy to use through strong hierarchy and logical organization.

Hierarchy
If you want to grab your customer’s attention with certain products and promotions, don’t bury them deep within your store pages. Treat your store landing page like a window display, and place your most important features front and center. The CMS area at the top of your store page is precious real estate that can be strategically used.

Cellar 360 includes a kicker for Father’s Day.

Organization
Organization goes hand-in-hand with the hierarchy of your store set-up. Who has time (or patience) to sort through a mish-mash of this, that, and the other? Make the shopping experience as easy and painless as possible. Guide your customer’s eye through the store by hierarchy, and make it easy for them to sort through your products by organization. Create logical categories within your store. For example:

  • By Product Type (Wines, Gifts, Accessories)
  • By Varietal (Cabernet Sauvignon, Merlot, Chardonnay)
  • By Wine Type (Red, White, Dessert)
  • By Usage (Wines to Pair with Food, Wines to Cellar)

Within the CMS area at the top of the page, you can create image buttons which link to your different categories. While the automated category crumbs are convenient and easy-to-use, images are attention grabbing and can instantaneously tell a customer what they can expect. (This is one of the reasons that iconography is so widely used.)


Terra Valentine uses bottle shots to give a preview of each store category.


Israeli Wine Direct sells several different brands of wine and uses labels to show each store category.

Products
Take time to focus on each product’s imagery and content.

Images
Don’t underestimate the importance of your product images. The quality of your images communicate the quality of the product and brand.

Are you debating between using bottle shots or labels? If you have substantial inventory, you may find yourself fighting for space. Try using a 3-column store setup with labels as thumbnail images. Labels require less vertical height, so even when displayed at a smaller scale the branding of the label will remain prominent. (As a compromise, you can always use a bottle shot on the product detail page.)

Now if your situation allows you flexibility between use of bottle shots or labels, my personal preference is to use a bottle shot. This is reflective of what your customers are accustomed to seeing on the store shelves and their dining room tables. Besides, what could be more enticing than a glossy bottle shot with deep shading, striking highlights and a crisp, clean label? If all you have are grainy snapshots taken from your old Olympus camera, with your reflection clearly visible in the bottle, than I highly recommend investing in professional photography. (Artisan Media knows what they’re doing.)


Tamber Bey uses beautiful bottle photography throughout their site.

Teaser Description
Tantilize your customers’ taste buds with a short description (1-2 sentences) about your product. If available, also include a noteworthy review or award. Your teaser could be the deal breaker between click or no click, so give extra thought to what is written.


Venge Vineyards includes a short description and awards in their teasers.

Detail Description
Use your product detail page to elaborate on the description of your product. Keep in mind that while you are providing more information, there is a such thing as “too” long, so be concise and clear. (And if you can’t say it like Steinbeck, it may be better to take a simpler approach – make it short and sweet!) Include any other relevant information a customer might want to know such as pairings, tasting notes and reviews/awards. If you have have PDFs, you can include them as downloads. Or if you have pairings in another section of your site, link back and forth.


B Cellars includes ratings and suggested pairings on their detail pages. Winemaker notes can also be downloaded.


Rodney Strong includes a vineyard map and product sheet which can be downloaded. Notice how they use icons for these downloads.
 

Time Posted: May 14, 2009 at 11:46 AM
WineDirect Admin
 
May 8, 2009 | WineDirect Admin

Announcing the Launch of Inertia INSITE. Inertia’s Online Community Forum

Dear Valued Client,

Client support and education has always been at the heart of our mission here at IBG. We recognize that selling direct can be complicated, and are always seeking ways to support your requests for more information, more opportunities to enhance your businesses, and more tools to help you succeed.

With that in mind, we’re very happy to introduce IBG INSITE, your new web-based direct sales community.

INSITE is built around a social networking frame. This means that in addition to finding a remarkable amount of REthink Engine and Direct Sales support materials on INSITE, you can also interact with Inertia client support, Account Managers, Sales and Marketing folks, as well as with your peers in the Wine Industry who use the REthink Engine.

Think of it as Facebook meets Inertia Client Service.

The INSITE community is being launched exclusively on behalf of Inertia clients. Every month, we will explore the business issues you’ve asked about most. We’ll pose and moderate forums on at least one major business issue per month, providing strategic insight and guidance, best practices and quick tips to get your program moving on all fronts.


On INSITE, you will be able to:

  • Search for solutions to your business problems
  • Find useful tools and tips from our team of Account Managers
  • Connect with wine industry peers through our forums
  • Pose a question or submit RTE enhancement requests
  • Share solutions that have worked well for your direct efforts
  • Stay on top of Inertia’s latest product and program developments
  • Learn through pre-recorded webinars and direct sales & marketing seminar videos
  • RSVP for future training sessions and workshops

All efforts to support and enhance INSITE are designed to help Inertia clients maximize their direct sales and marketing efforts.

There is no other resource like INSITE within the wine industry. Please take a moment to join and see for yourself. You may join the INSITE community by visiting http://www.inertiainsite.com.

We are excited to launch this new community and look forward to seeing you on INSITE. We hope to see you there. Afterall…it wouldn’t be a community without you.

Cheers!

Stephen Mutch, Vice President, Client Services
stephen.mutch@inertiabev.com
 

WineDirect Admin
 
May 1, 2009 | WineDirect Admin

Inertia Community Forum - A Roundtable Discussion for Inertia Clients

How Do You Manage Your Business Today, With Tomorrow in Mind?
A community forum

All of our valued clients are invited to join us May 19th, for a community involved discussion focused on understanding how to be successful in today’s market, while being conscious of long term brand and financial goals.

Please join us for a town hall-style meeting, with breakout sessions focused on stimulating lively discussion and collaborative dialogue. In addition, Inertia will be announcing the release of our brand new Online Community Forum, Inertia Insite.

Bring your ideas, a bottle of wine to share and be ready to meet and talk with your wine industry neighbors.

When | Tuesday, May 19th, 1:30 - 5pm

Where | Springhill Suites, 101 Gateway Rd, Napa

Forum Agenda

1:30 - 2:00 | Meet & Greet

2:00 - 2:15 | Word from our CEO, Ted Jansen

2:15 - 4:15

* Inertia Insite Online Community & Forum Introduction, Stephen Mutch, Sr. Director Client Services

* Managing Your Business Today, with Tomorrow In Mind

- Break out Sessions | All

- Group Discussion | All

4:15 - 4:45 | Wine & Cheese Reception

RSVP | Please contact your Account Manager to RSVP. Space is limited, call or email soon.

Looking forward to seeing you in May!