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WineDirect Admin
 
August 19, 2009 | WineDirect Admin

Spyware, Malware, oh my…

Over the many, many years of using a Windows based PC’s, I and almost all Windows users have run across computer infections that involve what is known as “Spyware” or “Malware”, and various other malicous Trojans and Worms. None are beneficial, nor keep your data or computer secure or allow you to surf the web without some type of security compromise. All of them will give you a headache if not caught in time.

I am to understand over 80% of all Windows based computers are infected unbeknownst to the users, until they either stop working or come to a slow grinding halt. This may be a high estimate but not from my actual experience with assisting others with their Windows based PC’s.

Spyware is software that resides on a computer and sends your personal data to its creator. The data may include surfing habits, system details or, in its most dangerous form, passwords and login data for secure applications such as online banking. Many
spyware programs are more annoying than dangerous, serving up pop-up ads or gathering email addresses for use in spam campaigns. Even those programs, however, can cost you valuable time and computing resources.

Often, spyware comes along with a free software application, such as a game or a productivity program, such as connection boosters or free screensaver. Once it is installed onto your computer, the functional element of the software works exactly as promised, while the information gathering program sets up shop behind the scenes on your computer and begins feeding your personal data back to the bad guys.

To protect yourself from such nefarious software, install and maintain some type of Spyware prevention and removal application that you must keep up to date and run on a regular basis.

I have found over the years that these 3 FREE applications, not only run very well together but also do a very good job either blocking such spyware or removing the infection entirely. You should NEVER install more than one current Anti-Virus program but with Spyware and Malware, more can be better and these 3 are the best. My own past experience proves it.

Ad-Aware - http://www.lavasoft.com/
Spybot-Search & Destroy - http://www.safer-networking.org/en/index.html
Malwarebytes’ Anti-Malware - http://www.malwarebytes.org/mbam.php

Once you have reviewed the above sites, download and installed these 3 applications. You will need to keep up on the almost daily updates and RUN the applications on a regular basis, installing and not updating or not running them is a waste of your time and hard drive space. You must take the medicine if you want your PC get better!

As this is the remedy, what about prevention?

Avoiding Spyware

  • When it comes to spyware, the best defense is a great offense. Practicing the below step to avoid getting spyware on your computer in the first place helps prevent you from becoming a victim.
  • Keep Windows up-to-date by setting up automatic updates in the control panel. Microsoft issues critical updates at every second Tuesday of each month. Many of those are designed to eliminate or avoid specific security threats.
  • Never open an email attachment if you are uncertain of its source.
  • Install an anti-virus software package and keep it updated at all times. There are many of these available, some of which are free. The most popular brands include Norton, McAfee, and AVG by Grisoft.
  • Don’t download shareware (or anything else for that matter) from unknown sources. Seek out reliable providers of free utilities, such as download.com.
  • Avoid questionable web sites. If you visit a site that seems strange, there is a good chance you should not be there.
  • Don’t click on any pop-up or ads for free anti-spyware software. These are almost always bogus, even if they carry the name and logo of a well-known company. Sadly, this is a very popular method used to distribute spyware and other malware.
  • Install a firewall and, if you have a home network, use a separate router, rather than sharing the Internet connection through one of your computers. This puts one more barrier between you and the bad guys. Windows XP and Vista come with a firewall, so no extra cost here.
  • If a virus alert appears on your screen as you visit a web site, do not click on it, even to close it. Instead, type control-alt-delete to launch the Task Manager and use the “End Task” command to close the window. Next, use your own anti-virus software to run a complete scan of the system.

All of this is by no means instructions on how to install and safeguard your computer from viruses, spyware, and malware, more to make you aware of what is out there, to either look into it more and make an informed decision, or seek professional assistance for the solution that best serves your needs.

Sheri Hebbeln
 
August 10, 2009 | Sheri Hebbeln

Preparing for the Perfect Storm in the Wine Industry

I moved to wine country from South Florida in 2002, yet I’m still very much aware of the official start of hurricane season each year. Although it technically runs from June 1st through November 30th, the majority of named storms tend to hit a little later in the season, beginning in September or so. And each year, as activity starts picking up in the Atlantic, I’m reminded of the many hours spent preparing for tropical storms or hurricanes, storms that in many (if not most) cases take last minute turns and hit other (hopefully less populated) areas. Preparing for a hurricane is a monumental task; shuttering your home, preparing your place of business, stocking up on supplies, and on and on. Not surprisingly, after a number of false alarms people often become complacent. And standing beneath beautiful blue skies, braving the Florida heat and humidity while waiting in line to fill the car with gas, it’s not difficult to understand why. But reality always prevails and history, in the form of storms such as Andrew or Katrina, reminds us just how real the possibility is.

What do hurricanes have to do with wine sales? That analogy, in some ways, reminds me of the many stops and starts we’ve endured in the wine industry over the last several years. When I first became involved in the industry in 2002, excitement was just starting to build around the potential of Internet marketing and direct to consumer sales. In fact, I believe that predictions at the time put DTC at somewhere between 5% and 10% of total wine sales by 2003. Since that time we’ve seen many companies try to navigate the myriad of regulations that each of us deal with on a daily basis. A few have succeeded. Many have not. Yet once again excitement is building around the direct channel. Is it time to start preparing for the hurricane or are we just in for more of the same? What is different about 2009?

In 1991, Geoffrey A. Moore wrote the book “Crossing the Chasm”. While it focused on the specifics of marketing high tech products to mainstream customers, I think the principle itself is very relevant to the market for wine online. Moore postured that a chasm exists between the early adopters of a product (the visionaries) and the early majority (the pragmatists). Moreover, he argued that these two groups have very different needs and expectations, meaning that you shouldn’t try to market to them in the same ways. Visionaries like being ahead of the curve and will seek out the new and exciting, whereas the early majority rely more on recommendations and word of mouth.

Who really buys wine online? It’s heavy. It’s expensive to ship. And it’s not always easy to get across state borders. Why would I go online, pay a premium for shipping, and wait a week or more for my wine when I can walk to the nearest Safeway, purchase a bottle, and open it that evening? Where do we stand in terms of the lifecycle for online wine sales and which group should we be marketing to? I believe it’s the innovators and early adopters. They’re the visionaries who enjoy being out in front and searching out superior products which are not broadly available. This is the group who will go on to become viral marketers and evangelists as we try to gain broad appeal. The current challenge for the industry as a whole is in pairing innovation with demand to successfully cross the chasm, finally landing in a marketplace where the mainstream can confidently place an order for a bottle of wine and know that 1) the product is exceptional (having been recommended by an early adopter), 2) the sale is entirely legal, and 3) the product will arrive in a reasonable amount of time and in perfect condition. So what is different this time around, and why should we believe that direct to consumer wine sales might finally be entering the mainstream? I think there are three signals:

  1. It’s been a gradual shift but since those early days we’ve seen many regulatory changes, most of which were precipitated by Granholm v. Heald. In 2002 direct sales by out of state wineries were banned in at least half of the US states including states such as New York and Florida. Today, wineries can access 36 states.
  2. Wine has gained the attention of some of the major Internet players. There may be nuances and regulatory hurdles, but the end game remains the same. Today’s landscape is attractive and they are ready to participate. The question now is not whether or not a top retailer will enter the market, but rather who will be first.
  3. New technologies make it easy for innovators and early adopters to influence the early majority, a key in crossing into the mainstream. Using innovations which unite wineries (complete with their product detail, order processing systems, compliance safeguards, and customer management capabilities) with new customers, sophisticated Marketing Agents can market wines and present customer recommendations and reviews to their own loyal customers.
     

Going back to hurricane season, the forecast has changed dramatically since 2002. It’s quite possible that what we’re experiencing right now truly is the calm before the storm. What can you do to prepare? To quote another book, “Purple Cow” by Seth Godin: you can “be remarkable”. Remarkable begins, obviously, with your product. But it extends far beyond that, to your branding, your content, and your customer service. Think of who you are, where you’ve been, and what it is that makes you stand out from the crowd. Put serious thought and effort into your product content. And don’t be afraid to hire marketing and/or copywriting help if need be. It just may be one of the savviest investments you can make right now.

 


 

Matthew Mann
 
August 7, 2009 | Matthew Mann

Virginia Fires Shot Over Direct Shippers’ Bow

By issuing a circular on July 22nd requiring Virginia direct shipper licensees to take orders and ship wine only from their own facilities using only their own employees, Virginia ABC fired a warning shot at direct shippers who were not reporting their shipments in a manner compliant with state requirements. But stay calm, my guess is this rather extreme dictate will soften once reality comes back to the forefront.

Look at the situation. Virginia’s direct shipment statute requires shipper licensees to ship to consumers using approved common carriers and to report to the ABC the carrier used. Certainly not unreasonable, since tracking shipments seems a legitimate way to monitor illegal shipments into the Commonwealth. Many wineries, particularly large ones in California, use third party logistics companies (3PL’s) to stage and fulfill both daily and wine club orders. They are legitimate businesses providing a service more efficiently than wineries could do it themselves. Even the recent California ABC advisory made it clear that such businesses operate legally. While these 3PL’s provide reporting information to their winery clients, I’m guessing that some wineries were not properly reporting carrier information because they didn’t have it in front of them at the time the reports were due and Virginia ABC got tired of trying to follow up to get the information.

There are many legal issues involved, including the real possibility that the Virginia governing statute violates the Commerce Clause. In Healy v. The Beer Institute (1989) the Supreme Court rejected the “extra-territorial” application of a Connecticut law that had the “effect of controlling commercial activity occurring wholly outside the boundary of the State” in violation of the Commerce Clause. While certainly not a slam-dunk, you could make an argument that this application of Virginia’s law could be considered unconstitutional on the same grounds.

But aside from the legal considerations, the Virginia rule just doesn’t make good sense. The obvious problem is that Virginia ABC’s response was to throw out the baby with the bath water. Requiring all shipper licensees to ship from their own facilities will likely cause many wineries to simply not ship to Virginia. It doesn’t make economic sense for wineries to change their entire shipping regime or carve out a more expensive exception to accommodate the requirements of one state, even the 9th largest consumption state. There are no winners here. Wineries lose customers, Virginia consumers lose access to many wines, and the Commonwealth of Virginia loses tax revenue at a time when most states can use all of the revenue they can get!

My hope and expectation is that Virginia will pull back from the requirements set out in the circular and recognize that wineries using 3PL’s are perfectly legitimate, as well as efficient, ways for wineries to get wine to Virginia consumers. If not, it’s going to be a long, dry winter in the Commonwealth.
 

Sheri Hebbeln
 
August 4, 2009 | Sheri Hebbeln

Don't Forget the Tried and True

These are my principles. If you don’t like them, I have others. Groucho Marx

As we’re all very much aware, shifting market trends have made it a tough time for wine sales. Eric Asimov summed it up in a recent article for the New York Times when he stated “Cash may be trickling, but anxiety is gushing forth.” And while uncertain economic times may make it tempting to pull back on marketing spend or concentrate resources on the latest and greatest trend, it’s worth remembering that huge benefits can often be gained by focusing on the basics. The essence of marketing is to understand the needs of your customers and develop a plan for meeting those needs. With that in mind, I believe that all marketing efforts should fall into one of four buckets: 1) Building Equity, 2) Generating Demand, 3) Garnering Loyalty, or 4) Enhancing Channel Sales and Profitability. By compartmentalizing in this way, all promotional tactics are focused on specific goals and objectives, allowing you to more easily measure results and plan for the future.

Build Equity: Put simply the focus here is on acquiring new customers. This includes all efforts to gently guide potential customers through the relationship cycle: from awareness, to contemplation, to preference for your wines (and your brand) and finally to loyalty and word of mouth. Several tactics fit into this bucket, including but not limited to the following:

  • Focus on direct marketing and list building strategies. Maintain and stick with a promotional calendar.
  • Reach out to both traditional media and the wine blogging community.
  • Social Networking is a great way to attract new customers of every age (most notably younger generations), to add a human touch, and to build good will. Whether developing a Facebook page, joining the conversation in Twitter or utilizing YouTube, you will need a strategy for both participating in and monitoring conversations.
  • If you’re feeling adventuresome, consider developing an online video. Video can be used for many purposes: winemaker interviews, culinary productions, or telling your story in general. It can add a whole new dimension to your marketing effort.
  • Build traffic to your website using SEM and SEO. SEM is an often overlooked method of paid advertising which if approached correctly can be very powerful both in building brands and in generating demand. Use it to build awareness for your winery, as well as for short term promotional efforts. Focus on niche keywords, your winemaker, your winery and other terms which are important to your brand.

Generate Demand: This involves the use of promotional methods to generate sales and increase the average spend per customer.

  • Focus on the tasting room: invite people to events, sponsor other local events and work with neighboring wineries if feasible. Capture information that will allow you to approach these visitors in the future: incentivize them to sign up for your newsletter or mailing list, and always encourage wine club participation.
  • Recognize that tourists are looking closer to home and reach out to locals. For California wineries, this might mean anyone within a three hour radius.
  • Build upon your eCommerce strategy. Remember the adage that “Content is King” and revisit your web site. Make sure that content is up to date and product images and descriptions are clean and well thought out. Also be sure that your site is frequently updated, with news, events and other happenings. Don’t allow it to get stale or give the appearance of nothing more than an online “brochure”.
  • Consider different techniques for increasing average order value: offer product bundles, case discounts, or shipping incentives on volume orders.

Engender Loyalty: The use of creative methods to increase the lifetime value of customers and club members

  • Attack email campaigns and club promotion strategies with renewed vigor (use geographic and other forms of segmentation to ensure promotions are focused).
  • Examine ways in which you can add value to club memberships. Acknowledge milestones such as birthdays, anniversaries, club longevity. Offer “members only” events, tours, and tastings. Include re-order materials with your club shipments.
  • Focus on current club members and solicit updated credit card information when necessary.
  • Revisit your customer service policies and customer relationship management strategy and ensure club members are treated accordingly. In turn, this will allow you to rely on your customers to help with marketing - happy customers and the word of mouth they generate can be very positive. And remember that social media is not just about acquiring new customers; it is also a great tool for generating customer satisfaction and loyalty.
  • Be sure to utilize relevant metrics so that you always understand the value of your customers.

Enhance Channel Profitability: The pursuit of new growth opportunities and customer acquisition strategies via expansion into new and profitable sales channels

Direct to Consumer Opportunities: As new marketplace opportunities become available, the landscape for direct to consumer sales will begin to change dramatically. Participation in these marketplaces, whether Inertia’s new direct to consumer marketplace “CollectiveVine.com”, or via a Marketing Agent provides many benefits, namely:

  1. A captive audience and the ability to introduce your wines to an expanded customer base.
  2. New opportunities for market research and testing without the traditional costs associated with them.
  3. Costs for participation are significantly lower than through traditional channels, resulting in better margins.
  4. Customer acquisition: participation in winery direct programs means that customers are delivered to you for future marketing opportunities.
  5. An opportunity to build brand equity: today’s wine buyers are savvier and are accustomed to searching out preferred brands. Online marketplaces provide an excellent opportunity for building awareness.


Direct to Trade Opportunities: Wine REvolution, our direct to trade marketplace provides an opportunity to reach restaurant and retail buyers directly via an ecommerce platform, providing several benefits:

  1. Access to new markets and trade accounts,
  2. Control over your brand and
  3. Increased profitability.

Make the most of your participation and aid trade partners by providing complete product data. In short, make it easy for partners to sell your product.

Finally, as you reach out to new customers via channels which have not been available in the past, I think it’s important to remember that you are building a brand. With that in mind it is essential that you maintain a consistent customer experience across all sales outlets: from sales collateral, product descriptions, prices, and the content and images provided to online marketplaces all the way through to the customer service experience. Customers should know and respect your brand regardless of the touch point.