Vintage New World Blog What's next in wine …
… What's next in the wine business.
Middleton Family Wines (MFW) is a national and international wine
marketing and sales company. MFW is the marketing and sales arm of Raft River Vintners,
a winegrowing company owned by the Middleton family, the Anderson and Middleton
Company of Hoquiam, Washington. They have been involved in agriculture and
timber in Washington and California for more than 100 years. Read more about us...
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Bad news if you're selling high-end wine: Makers of high-end wines caught in 'dead zone'
This isn't really news, if you're in the wine business. But if you haven't been following the game, wine sales are up in the USA, but they're up for wines selling below $20 retail. For those selling at higher prices, times are tough.
Now's when managing inventories becomes the most important brand management issue. Because if you have too much wine, and a high price point, you are likely in great danger of destroying your brand position by cutting prices in order to get desperately needed cash out of your inventory.
These are the times I wish we could bottle everything as shiners (unlabeled), for maximum flexibility. Unbranded corks, no capsules, no labels, contents (unprinted) case shippers. Holding wine in bulk, unbottled, might seem preferable, but that's difficult if you need tank space for new vintage grapes.
But a mix of delayed bottling, and when bottling, putting that wine in shiners, seems like the ideal way to develop a brand. Label as necessary. Label for others, with their labels, to sell at lower prices, so as not to damage your own brand.
But I guess that would require a bottling line on stand-by all the time. A capital outlay fewer wineries are making these days.
But having gone the shiners route several times in the past, I can testify that the benefit of offering excess wine to private label, or export labeling, or whatever, gave much more flexibility in managing inventories and protecting brands.
DAH is David Anthony Hance at www.VintageNewWorld.com
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I just don't understand social "gaming," specifically, Farmville on Face Book. As a wine company, we're certainly active in social media. We understand that using Twitter, Face Book, YouTube and other applications can help us build a base of interested consumers who might someday become customers.
But what does playing Farmville do for anyone except capture more of the time they don't have enough of in the first place?
I have eschewed Face Book surveys and quizes, and no, I don't want to play Mafia Wars, thank you. It's all I can do to find time to read wine blogs and glance at the weekly food & wine sections in major newspapers.
And no, I'm not a curmudgeon or a luddite, though I admit to being cynical.
All too often, my colleagues and I whip off an email when a quick phone call would suffice. And if we DID pick up the phone, we'd have the added benefit of producing some meaningful discourse, rather than an email string that begats its own secondary string.
Not to start off a nice Friday with whining blog entry, but I hate to see the promise of the cool things social media can do turn us into anti-social virtual farmers.
Now, if there were a grapegrowing and winemaking Face Book game... |
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DAH NOTES:
Deriding that about which you know nothing: A favorite modern pastime.
Gary Vaynerchuk of Wine Library and Wine Library TV fame tweeted this USA Today link: USA Today on Twitter
Please note: I would have no awareness of this article if I did not follow @garyvee on Twitter.
I have had many conversations about Twitter with friends and associates. Well, not so much conversations. More like rant-control as they go off about Twitter. Or Facebook. Or E-Mail. Or Blogging. Or Podcasting. Or Digital Music. Or Cable TV. Or Cell Phones. Or the introduction of the telegraph. Or the Pony Express. Or Railroads. Or Electricity.
OK, so the last few, not so much.
Or another favorite: Wine is wine. Who cares where it's from? I either like it or I don't. Why do THEY make such a big deal about it?
Or as in: Who needs Washington wine? There's already too much wine!
Or even: Walla Walla wine! That's stupid. Who cares about Walla Walla?
Or: Why Cadaretta? Why do we need ANOTHER wine from Walla Walla?
The people with whom I would have all these rant-control conversations (I'm doing the rant controlling, they're doing the ranting) are all the same people. Over and over again. Coping with the prospect of new choices by ranting about them.
Some people love the new. Often unabashedly and without selectivity. Such people are not the ranters I'm dealing with.
Some people are alarmed by the new. Often unabashedly and without selectivity. Such people ARE the ranters I'm dealing with.
What I'd prefer: Everyone sorting the old and new and making choices that work for them without complaining (ranting) about the choosing process.
What I'm going to get: More ranting, I expect.
The USA Today article suggests that 40% of Twitter is babble.
Gary Vaynerchuk suggests that 40% of everything is babble.
DAH suggests that more than 50% of everything is babble. And that at least 20% of the rest is ranting and complaining.
Which is why we should all just chill ... a bottle of Cadaretta SBS ... and just chill.
DAH is David Anthony Hance at
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DAH Wine Notes -
Thoughts inspired by grape harvest projections for vintage 2009:
1. Suggestions that Washington grape prices won't fall this year seem rather hopeful, based upon the soft national economy and the increasing supply of Washington grapes;
2. It's good to remember that the California wine grape harvest is more than 20 times the size of the Washington wine grape harvest; and,
3. It's even better to remember that the California wine grape harvest is almost 90 times the size of the Oregon wine grape harvest.
From The News Tribune (Tacoma WA) on 19-August-2009
Washington expects record wine grape crop
By Andy Perdue, Wine Press Northwest
A report by the Washington Association of Wine Grape Growers indicates record crop of 155,000 tons of wine grapes this fall. That would be up from 145,000 last year.
That said, the annual 'crop estimate' is often on the high side. Based on past years, I would expect the tonnage to come in a little lower but still be a record.
After nearly two weeks of extremely hot weather at the end of July, August temperatures in Washington's Columbia Valley have been just about perfect for wine grapes, with highs in the mid-80s. Temperatures are expected to spike today and the rest of the week to the mid- to high 90s.
Oregon's wine grape crop is expected to be about 37,000 tons, up from 2008 but down from 2007, which was 38,600.
Meanwhile, California's wine grape crop is estimated this year at 3.3 million tons.
DAH is David Anthony Hance at www.VintageNewWorld.com
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Just returned from the seventh annual Petite Sirah Symposium at Concannon Winery in Livermore (great host winery, by the way). What really struck me is how Petite Sirah acreage in California has increased so dramatically since 1995.
There was actually more Petite planted in 1976 (over 14,000 acres), but it's clear that growers began to pull it out as Chardonnay's popularity started to rise. I imagine White Zin also took a chunk of Petite's acres, so that by 1995 there were only 1,738 acres of Petite Sirah in the Golden State. Since then, acreage has increased annually, to over 7,300 acres in 2008.
And the region with the most Petite? It's Lodi and the Delta area. But coming in second is the Santa Barbara/San Luis area, including Paso Robles. Forty four percent of California's Petite Sirah comes from these two regions.
Why does Petite continue to do well? It's not because any one winery makes a truck load every year (though Concannon and Bogle produce a bunch...), but it's because of how versatile Petite Sirah can be. It's not only bottled as a varietal, but it's often blended, especially to enhance thinner reds. It was noted today that with all of the Pinot Noir planted in marginal areas over the past few years, Petite should have a guaranteed place over the next few years as a 25% component of otherwise insipid Pinot.
By the way, at the walk-around tasting following the meeting, one rather prominent wine writer, who is not generally given to admitting preferences, told me that she really preferred the Clayhouse 2006 Estate Petite because it was one of the few being poured that had a real peppery character. |
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After attending the Blogger's Conference last weekend I'm convinced that wineries need to be more involved, or at least better informed, about social media and its implications for future customer interaction.
But I've also been in the wine industry long enough (someone at the conference said I was "legendary"...I don't know if that's good or bad) to know that there's no substitute for face-to-face contact.
The challenge for PR people is that, while we're trying to embrace the new media and Web 2.0, we still have to manage our "traditional" media contacts and relationships. I used to sit down with writers on the east coast at least once a year for dinner and a glass of wine. That can't be done on FaceBook or Twitter.
And while wine writers used to be concentrated on the coasts, bloggers and the new media can be anywhere, making face to face contact even more logistically difficult.
(My one gripe with the Blogger's Conference was that, while they provided names and email addresses for all attendees, they didn't supply physical addresses. Hey, I might want to send samples to some of those bloggers out there.)
We wineries need to get involved with social media and figure out how to make it work best for all participants. Meantime, it's clear to me that my U.C. Extension class, "PR for Small Wineries" (December 4th in Davis, http://tinyurl.com/nxaxg4), needs a major social media overhaul. One has to stay relevant... |
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Frankly, Napa does it well. Hospitality is number one in the land of wine tourism. A rousing, albeit ego-filled keynote address by Barry Schuler (founder of AOL), Jim Gordon's (Wines & Vines tips for better writing...and blogging), then lunch, tours, panel discussions and an ultimate Napa tasting at Quintessa; there's plenty of Sonoma and Napa wine foder for the bloggers to tackle over the next couple of weeks.
Interesting notes for the day:
Sterling, where I've never been despite living in Sonoma/Mendocino counties for 27 years, was actually kind of cool to visit, though their box lunches on the fly paled to some of the other lunches other groups experienced... They also poured us their new line of Mendocino County organic wines, which pleased me since I live there, but probably pissed off the Napa Valley Vintners, which might have assumed they'd pour Napa wines.
Amazing dinner at Leil wines, not the winery (it's virtual) but the owner's home overlooking the Valley, right above Aberege du Soleil. What better way to personalize a brand than to have a bunch of folks to your HOUSE, not your WINERY, and to serve them your awesome Sauvignon Blanc? Also there: Paula Kornell with her tasty Cabernet Franc from Oakville Ranch.
Next year the conference will be in Walla Walla, June 25-27, 2010; make your reservations now (and be sure and try a bottle of Cadaretta Cabernet or SBS soon, to entice you to register for the conference...). |
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