The news and the mood are resoundingly and unrelentingly bleak. Many states that have not had enough grapes to fill orders are now struggling to sell their grapes. People speak of a wine glut, a whiskey glut, difficulties in the brewery industry. Exports are down – whether by market forces or by politics. A younger generation is not replacing the older one – it is going its own way. Different products – RTDs, seltzers, gummies – are distracting the consumer base. Costs are up. And wholesales are down.
I’ve enumerated the reasons in prior posts. No need to re
count them hear. Stop whining. What you’re gonna get here comes straight from
Dr. James Hollis – “Shut up. Suit up. Show up.” There’s no magic single bullet.
There’s no great news on the horizon. No one is coming to save your ass. Sorry
for the tough love. But that’s the truth of it.
However, this juncture is unquestionably an opportunity to
change. To survive. To grow. To thrive. What can you do? Here’s a list of
things you can do to improve your business.
Revaluate your product line. If professional sports
has taught us anything, it’s that self-scouting is immensely valuable. Be
objective as hell. Be mean to yourself. Or have a business colleague help you. It’s
important to cull lesser performing products, or lesser quality products. One
of the fastest ways to improve a line of products or a region’s reputation, is
by ceasing to sell plonk – bad wine, beer, or spirits. It’s easier to lose a
reputation than gain one. Don’t self-sabotage.
Shorten your list. It’s not a bad idea in times like
these to focus your list – concentrate on the things that sell. Stragglers
waste time. Kill off the last two or three products that aren’t selling by
themselves.
Dump bad product. If it’s still in barrels get rid of
it and the barrels. Barrels that have volatile acidity (vinegar) or
brettanomyces or H2S, must go. You can’t save the wine by blending it away.
And you can’t save the barrels – except by making furniture or planters of
them. Give or sell bad beer or wine to a distiller. Take bad spirits and
re-distill. Stop trying to sell it off – you’re hurting your neighbors and your
industry – and more importantly, your business. (ps. Yeah, beer guys like Brett
– if it’s intentional, of course you can disregard).
Combine If it’s possible – blending good craft
beverages to make new products can be a winner. Don’t do it because you’re
trying to get rid of one. That wine or spirit has to go. But make sure you’re
blending some of your best stuff too. One great barrel of wine or whiskey, even in
small amounts, may help up your image.
Clean up your processes and your premises. Do a total
cleaning of equipment and space; wash barrels, hoses, tanks, pumps, walls,
apply some new paint. Cleanliness is among the largest factors negatively affecting
the craft beverage.
Invent new product. Make the product you always
admired – what drew you into the business. Even if it’s just one barrel or
batch. Make the best possible wine, beer, or spirit you can possibly make. Even
in a small amount. Wow your customers and yourself.
Rebrand! Believe it or not, now is the greatest
opportunity to rebrand your line – stratify – be the brand you want to be 5
years from now. Stratify your labels – Separate your picnic or fun wines,
beers, or spirits – from you’re a-list product. Identify the audience and
market appropriately. Mondavi has Woodbridge and they have Robert Mondavi. Heaven
Hill has Evan Williams and Larceny and Elijah Craig. InBev has Budweiser and
Stella Artois, and Beck’s among others. If your sweet pink wine is using the same
label as your best red, you’re doing it wrong. If your whiskey is using the
same label as your Bottled-in-bond, boy have you missed the boat.
Sharpen your message and increase frequency… on FB,
Insta, X, and threads. Don’t just promote the fast arriving event – BBQ,
seafood fest, country jam, etc. Promote 1/3 lifestyle; 1/3 product; and 1/3
process. Promote your lifestyle. Stop selling barrels and tanks. Start
promoting ingredients and their sources. Transparency and honesty are what
separate you from the big players who bludgeon with branding and advertising
dollars.
Tell a Story Every brewery, winery and distillery owner
wants to show you their equipment and their barrels. That’s incredibly 1990s. Tell
a story about your product – something short and repeatable. Something that
people will remember. Something unique to your product’s history or its process.
Are three or four generations working your business? Is your child or your grandchild
working the farm? Walking the brewery floor? Playing in the vineyard? Tell a
story of the block your wine comes from. Tell us a story about the oldest building.
About the dogs. Make it about branding and life. A connection with nature. Etc.
Every product has a story. If you can’t tell why, then why are you making it?
Concentrate on your main customers. Reconnect with
your best customers. Dinners, food, barrel tastings, experiments, etc. Engage
new customers. Court younger customers. Do the same for your retailers as much as you can.
Improve experience. Change up your tasting experience.
Charge for it, but ramp it up. If you don’t know how, time to start visiting
other tasting rooms to pick up ideas. There’s a ton of them out there.
Change your tasting room Nothing same “the same old sh:#” as a tasting
room stuck in time. Nothing says, “we’re stuck” than an old tasting room. It’s
an instant signal, especially to younger customers. If it’s been more than 5 or
10 years it’s time to freshen your space. Get a few gallons of paint. Brighten
the room. Change some furniture. Change an area rug. Dark tasting rooms are
passe’. Brighten up the place. Add food or improve your food game. Bring in
local products. Add experimental products to your tasting menu.
Collaboration Products The easiest way to double your
marketing is to make a wine, beer, or spirit by working with another producer.
A brewery can age their beers in a wine or whiskey barrel. A distillery should
be using local barrels. Work with a local coffee roaster. Chocolatier. Maple
syrup producer. And both companies should be promoting the product.
These are just a few of the things you should be doing right
now. A point of departure. You should always be self-evaluating. It’s time to bring back the optimism and excitement to what you started. Right now is the great opportunity to rise above - to shine. To make great product. To smartly package it. To reinvigorate and re-energize.
Like Harris said – “Shut up. Suit up. Show up.”