Why it pays to create a memorable cellar door experience and how to achieve it

Presented by Robin Shaw & Kym Brown

WHY IT PAYS TO CREATE A MEMORABLE CELLAR DOOR EXPERIENCE

and how to achieve it

WINETECH

ADELAIDE, JULY 2015

Why it pays to create memorable cellar door experiences and how to achieve it © Wine Tourism Australia 2015 2

A BIT OF BACKGROUND

“Wine and food tourism encompasses travel

primarily motivated by, or characterised by, wine

and food leisure experiences that derive from the

specific production, social or cultural dimensions

of the destination.”NWFTS, 2012


THE GAME HAS CHANGED

• Greater competition for the consumer dollar.

• New business models, such as online sellers and

flash-sale websites confuse the market.

• Consumers are fickle and want instant

gratification.

• Online & offline connection are both important.

• Attention spans are shrinking.

• First impressions make or break.

• Time is our most traded/valuable/scarce

commodity.


LET THE GAMES BEGIN!

• Today we’ll focus on:

• What makes a cellar door memorable

• How to unlock the full potential of your cellar door

• Who your visitors are and what motivates them

• Why creating experiences is essential for success

• How to attract more visitors, more sales, more often


To attract more people,

who consume more of your wine,

more often.

WHAT IS THE GOAL OF ANY WINERY?

A successful cellar door can positively influence three key factors:

Brand Awareness

Direct Sales

Future Sales


YOUR CELLAR DOOR IS MANY THINGS…

A brand positioning statement...and…

A retail opportunity…and

An educational facility…and…

An entertainment venue…and…

A regional tourism showcase…and…

A primary source of customers for DTC sales… and

Your best opportunity to create advocates who buy

and recommend your wine.


WHAT THE STATS TELL US

What strategies do you use to build brand awareness and influence visits?

MAJORITY ARE FIRST TIME VISITORS & HIGHLY INFLUENCED BY THEIR VISIT

WINE TOURISTS ARE USUALLY THE HOUSEHOLD’S MAIN PURCHASERS

MOST VISITORS KNOW ABOUT YOUR BRAND BEFORE THEY VISIT


SO CAN YOU BE ALL THINGS TO ALL PEOPLE?

VISITORS

FIT

VFR

Public Tour

Private Tour

Trade Media

Family

K

N

O

W

L

E

D

G

E


Private Tour Groups

• Generally have higher wine knowledge

• Often dictate the destination

• Special occasions

• High propensity to purchase

• Corporate clients

• Returning Guests

DIFFERENT STROKES FOR DIFFERENT FOLKS

Public Tour Groups

• Blend of knowledge and interest in wine

• Different demographics

• Usually 50:50 male/female

• Looking for education, fun, friendship, meeting people


Family Groups

• Seeking time to connect with family members

• Wine and food primary focus for adults

• Non-drinkers need to be catered for

• Children’s needs must be considered

DIFFERENT STROKES FOR DIFFERENT FOLKS

Special Interest & Corporate Groups

• Blend of knowledge and interest in wine

• Different demographics

• Looking for experiences the whole group can do

• Competitive element is often desirable

• Food and wine element desirable



5 OUT OF 7 MOTIVATING FACTORS DON’T INVOLVE WINE

UP TO ONE THIRD OF VISITORS DON’T BUY WINE

ONLY HALF OF YOUR VISITORS WILL EVER RETURN


I only want people who buy wine!!

Tasting and purchasing wine is less than half the story..

1. Taste and buy wine

2. Relax and be entertained

3. Spend time with partner, friends, family

4. Learn more about wine

5. Dine out for lunch and/or dinner

6. Experience a wine region / sightseeing

7. Discover and purchase local produce / merchandise

WHAT REALLY MOTIVATES WINERY VISITORS?

What are YOU doing to help visitors achieve their (usually unstated) goals?


WHAT ARE ‘EXPERIENCES’ ANYWAY?

Why do people leave their homes to visit other places?

To experience something different

Think of a recent experience you had as a visitor

and identify what made it memorable

What experiences do you offer that generate an immediate response?



DECISIONS TO VISIT YOUR REGION MAY OCCUR WEEKS OR MONTHS PRIOR

DECISIONS TO VISIT YOU MAY ONLY OCCUR DAYS BEFORE OR EVEN DRIVING PAST

MOST VISITORS ARE DAY-TRIPPERS


Understand what’s driving people

In the experience economy the focus is not

on the product or service:

it’s on the experience created by the

product or service.

Expectations are created through an

individual’s personal experiences and prior

knowledge which are highly influenced by

family / peers / trusted media.

EXPECTATIONS – EXPERIENCES – MEMORIES

Source: Geoff Maree; Pine & Gilmore

What you’re really selling are future memories.


TOP 10 TIPS FOR ENGAGING WITH VISITORS & GROUPS

1. Introduce yourself.

2. Give a genuine welcome (and farewell).

3. Focus on your visitor – build status and rapport.

4. Ask questions so the right experience can be delivered.

5. Make ordinary actions extraordinary.

6. Reward and incentivize – staff and visitors.

7. Tell the truth. Be genuine. Be yourself. Always.

8. Deliver with sincerity and passion – this is supposed to be fun…

9. Think long term. Imagine your visitors will return regularly, with

their friends, relatives, children, grand children –

give them a reason to.

10. Pay it forward….



83% OF VISITORS RECOMMEND WINE FROM A CELLAR DOOR THEY’VE VISITED

THEY WILL SPREAD THE WORD AT LEAST 3 TIMES POST-VISIT, USUALLY IN PERSON

REFERRALS, RECOMMENDATIONS, PRINT COLLATERAL ALL PLAY A KEY ROLE


Make your selection…

• Engage all the senses

o Sweet/savoury food matches

o Different locations around the property

o Hands on (prep, cooking, sensory)

• Masterclasses (for non-masters)

o Vintage comparison

o Oaked v unoaked

o Blending exercises

• Make (relevant) merchandise part of the mix

• Entertain your guests with stories, theatre

• Introduce guests to the winemaker

• Design interpretive tours around your site’s sensitivity

• Create packages and bundle with other operators

ENGAGE & ENTERTAIN


People who buy wine at the winery are MORE LIKELY to purchase it again in the future.

CONVERT NOW!

• Sales on the day are critical

• Sales are the outcome of the experience

• So focus on creating a memorable experience

Have your staff undertaken professional service and sales training?


Seated tastings generate at least 21.8%

greater average purchase per visitor.

Why?

- Spending expectations

- Focus

- Comfort

- Conversion rates increase

Worth noting: In the US, wine club

conversion rates nearly doubled when

customers were seated.

PULL UP A SEAT FOR YOUR GUESTS


STATS ON WINE CLUB MEMBERS

Do you continually add new members to mitigate attrition or evolve strategies

to retain existing members?

THEY ARE PRE-DISPOSED TO PURCHASED, KNOW WHAT THEY LIKE, AND SPEND BIG WHEN THEY VISIT

AVERAGE LENGTH OF MEMBERSHIP IS 26 MONTHS, ATTRITION RATES ARE HIGH

PREFERENCE IS FOR QUARTERLY OR BI-ANNUAL OFFERS, COMMITMENT CLUBS CAN WORK

It’s worth remembering that most cellar door wine purchases will be consumed

within 3-9 months, so initial and subsequent timing of contact post-visit is critical.


CASE STUDY: CRITTENDEN ESTATE MORNINGTON PENINSULA

What seating options do you have available for different experiences?


BY ALL MEANS, TASTE SOME WINE

Let’s face it, most wine tastings are rather boring…

Why?

- The spiel is usually repetitive

- It’s a case of ‘tell’ (which involves talking at people) not ‘sell’

(which involves genuine interaction)

- The range offered can be overwhelming

- It’s no different to the experience before, and after…

What are you doing to differentiate your wine tasting experience?


NOW ADD A LITTLE FOOD

Satisfaction levels increase dramatically

when food (and produce) is offered.

Why?

- Food and wine are natural partners

- Extension of experience

- Sociability

- Additional revenue source

- Good corporate social responsibility

How are you incorporating food into your cellar door experience?


THE MOST COMPREHENSIVE CHOCOLATE AND WINE PAIRING EXPERIENCE IN THE WORLD!

CASE STUDY: CHOCO VINO BY HAHNDORF HILL WINERY – AN EVOLUTION

The ChocoVino philosophy holds that chocolate is a

metaphor for terroir and the entire story emanates from

this premise.

How do you impart your values to visitors through your unique story?


PROGRAMMED TO PURCHASE: BUT WHAT? AND WHEN?

Do your cellar door staff advise visitors where they can purchase wine

when they return home?

UP TO 75% OF VISITORS SPEND AVG $90 WHEN THEY VISIT AND TAKE AWAY 4 BOTTLES & MOST LIKELY TO RE-PURCHASE

OVER HALF OF VISITORS PURCHASED AVG 5 BOTTLES IN THE 6 MONTHS POST-VISIT AND ARE BIGGER PURCHASERS OVERALL

40% OF VISITORS DO NOT KNOW WHERE THEY CAN PURCHASE WINES TASTED AT RETAIL BUT 60% WILL MAKE FUTURE PURCHASES THROUGH RETAIL OUTLETS


SUBTLE THINGS THAT MAKE A BIG IMPACT

Everyday item can be a canvas for your story

What items do your visitors see or use every day that could tell your story?


TIPS FOR DEALING WITH YOUR LOCAL TOUR OPERATOR

• Share information – regularly

o New experiences, new vintages

o Education, story, history

o Familiarisations, target market/s

o Feedback

• Make protocols known

o Booking / timing / min & max numbers

o Guide accompanying group

o Fees payable, how and when

o Group types allowed

• Provide high standard service

o Dedicated person

o Supporting collateral

o Limit the range

o Feedback mechanisms

o Opportunity to purchase / shipping

o Consistency, flexibility for special groups


1. Build relationships with venues, VIC’s, customers

2. Adhere to the winery’s protocols

3. Extend common courtesy

4. Be in it for the long term

5. Do your research – know the regional stories.

6. Undertake guide training.

7. Brush up on your general knowledge.

8. Engage with anecdotes and personal stories.

9. Understand and implement responsible service.

10. Develop a sustainable business model

TOP 10 TIPS FOR TOUR OPERATORS


“THINK DIFFERENT”

Information sources:

• The Cellar Door as Catalyst for Wine Consumption

Changes & Multiplier of Sales in the Australian Wine

Market, J. Bruwer UniSA

(research.agwa.net.au/resources)

• 2014 WBM/SVB Tasting Room Survey Report (USA)

• Wine Tourism Australia case studies

Contact Information

• Robin Shaw – Adelaide Hills Wine Region

[email protected]

[email protected]

• Kym Brown – Tour Barossa

www.tourbarossa.com

[email protected]

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Why it pays to create a memorable cellar door experience and how to achieve it