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Renewed U.S.-Cuba ties good news for CA wine

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The first thing I thought, when I heard that the U.S. is about to normalize diplomatic relations with Cuba, was, “Oh, man, that’s really good news for California wine.”

Before the brouhahas of the early 1960s, Cuba was a favorite tropical destination for American vacationers, especially those along the East Coast. Today, people go to Costa Rica, Belize, the Virgin Islands and Puerto Rico; back then, it was Havana, just 90 miles across open water from Florida. Fashionable resorts, like the Hotel Nacional, lined the Malecón, attracting tourists with cash to spend. And spend it they did, in restaurants and bars, until the break with the U.S. and subsequent embargo sent the Cuban economy into a tailspin.

But with this resumption in relations, there’s every reason to believe that U.S. tourism will once again explode; certainly, expectations are high. Forbes last week, in an article called “Five Industries Set to Benefit from the U.S.-Cuba Thaw,” listed “Tourism” in the top slot, writing that Cuba will be an attractive stop for architecture buffs, food lovers, music lovers, and those interested in literature and the arts.” And where food lovers go, there is wine.

And what wine is more natural to pour in Cuba than California wine? Yes, there’ll be plenty of Bordeaux and Burgundy, and probably lots of German Riesling in that warm climate, but really, California wine is likely to dominate restaurant wine lists, as it dominates wine lists here in the States. At least, that’s what Napans believe. An article last week in the Napa Valley Register described how Napa Valley winemakers are weighing the Caribbean nation’s potential to become its newest market,” although the article also warned that direct sales to Cubans themselves, rather than to wealthy tourists, are likely to be minimal for quite some time, because Cuba remains a poor country. Last summer, of course, a group of Cuban sommeliers famously visited Napa and Sonoma. At that time, they said they “aren’t sure how long it will be before California wines will be in their Cuban restaurants.” So the timing is iffy, but not the interest: the somms want our wine, and they’re going to get it. Pacific Northwest vintners, too, are eying the possibilities.

Because news of the improved U.S.-Cuba ties came so unexpectedly and rapidly, it’s not likely that very many California wineries were prepared for it. I would imagine that late last week, and continuing on into this Christmas week and the New Year, winery sales and marketing teams will be meeting on a contingency basis to figure out how to take advantage of the new developments. They should. Every market counts—and the Cuban tourist market (which will be international in scope, not just comprised of Americans) is likely to eventually be very profitable.

U.S. tourism in Cuba isn’t a done deal—it will take some action by Congress to fully open it up. But, as Bloomberg Business Week reports, even the prospect of travel has provided an exciting jolt of new possibilities. Namely, hordes of U.S. tourists shelling out to visit the formerly forbidden country.” When it happens, those tourists are going to be shelling out a lot of money for California wine.


Twelve Tips for Better Content Creation

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I recently came across this statistic in an infographic on content marketing: “64% of B2B content marketers say their biggest challenge is producing enough content.” (B2B means business-to-business.)

I would suspect that “producing enough content” also is the biggest challenge for B2C (business-to-consumer) content marketers. Cranking out content, especially in the constantly-changing world of social media, is really hard. I mean, good content. It’s easy to generate what my Grandma would have called dreck. Coming up with high-level stuff is hard.

I should know: In addition to this blog, which I write five times a week, I do blog posts for Kendall-Jackson, La Crema, Cambria and, soon, Byron for Jackson Family Wines. So, even without Twitter, Facebook and all the rest of the writing I do, blogs alone keep me on the hunt for content.

The problem is that I have high standards. I refuse to publish something, even a tweet, until it’s as good as I can make it. For me, a post has to rock. I don’t mean that everything I’ve ever written will be in the Blog Post Hall of Fame. Far from it. But everything I’ve ever written has been conceived and crafted with the utmost care, something that the end-readers may never be aware of, nor should they be. But to the extent anyone actually reads and enjoys what I write—and I think they do—it’s because I have overcome the “biggest challenge”: producing enough content.

Readers can tell when content has been produced by people who are just out to sell stuff, the same way they can tell the difference between a cheap suit and a good one. Bad content is a witch’s brew of spin and hype, the very things consumers hate. They can tell the difference between something meant to help, educate and amuse them—which is an article–and something meant to part them from their money—which is an ad or commercial. If a content creator doesn’t thoroughly understand the difference, he or she will not be a success.

I would suggest to anyone working in the world of content marketing that they decide to get really good at it, or else it’s not worth doing. This is why, if a company is serious about producing quality content on a frequent basis, it should hire talented people, pay them well and let them do their thing. Creating quality content—by which I mean interesting content–is an expertise that stands alone: top quality content producers have insights into the psychology of personality and the consumer behavior of the masses, which themselves require an entire spectrum of understanding, ranging from art and literature to history, politics and popular culture. They also understand their particular niche in the market, which requires a kind of bird’s-eye view of things. High-caliber content creators, especially those working in the social sphere, are always going to be a little weird because their talents are more of an art form than a skill or craft.

My advice for content creators is probably not needed, for they are an iconoclastic bunch, who come up with their own ideas. However, for what it’s worth, here it is:

  1. Be familiar with the product or service you’re writing about, and love it. As the late, great ad man, David Ogilvy, observed, he would never write an advertisement about a product he himself did not use.
  2. Know the people associated with that product. Be friends with them. They are part of the content.
  3. Study writing and literature, and read a great deal—stuff that inspires you. Have dictionaries and Thesaursi by your side, as well as books of quotations and sayings.
  4. Interesting content is informative, yes, but it’s also conversational. Would you rather have a conversation with an interesting person, or with a boring one?
  5. If you can work visuals (videos, photos, graphics) into your content, so much the better.
  6. Be curious, inventive, bold in your writing. Take risks. Great content production isn’t for the lazy or faint-hearted.
  7. Make yourself laugh with your content creation. If you think it’s funny, so will others. Putting your readers in a good mood will make them more loyal.
  8. Never underestimate the intelligence of your audience.
  9. Remember, your reputation and credibility are riding on everything you publish. The only thing separating you from complete irrelevance is the trust of your readers.
  10. But trust yourself first and foremost.
  11. Always tell the truth.
  12. If you experience writer’s block, re-read this list. It will always give you ideas.

P.S. If you use Wikipedia—I do—please consider making a small donation to keep them in business.


Preserving trust in an era of distrust

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Wine critics are insulated from the buying public. They live in a sort of bubble in which popular tastes are shut out, and only their own impressions impinge upon their consciousness. Yes, there’s something solipsistic about being a critic—maybe even narcissistic. But that’s the way it should be, because the critic must remain immune to all influences except that of his own taste and discernment.

Sales people, on the other hand, must constantly be in touch with the public. It’s always been something of a chicken-and-egg conundrum whether the success of a particular wine, or type of wine, is due to the top-down approach of marketing and P.R., or whether it’s from a bottom-up movement from the street. Probably it’s a little of both, and individual cases will vary. However, this we do know: customer satisfaction is more important now than ever.

By that I mean that the customer has more ways of being satisfied (or dissatisfied) than ever—more ways of expressing it, more capacity to share with others, more ways of having leverage at the winery. This is due, obviously, to the Internet and social media, and ease with which we can get online and publish our thinking with mobile devices. But you already know that.

So it wasn’t particularly surprising when I saw this study yesterday on “Three things consumers want [from a company]: responsiveness, involvement and conviction.” What was surprising was the huge gap between what people say they want more of, and how they think companies are actually performing. Measured by this metric, most companies suck.

For example, in the area of greater responsiveness (to complaints, questions, concerns, and so on), 78% of people want an almost “on demand” responsiveness from the company. And yet, only 17% of the respondents felt that companies actually respond in a timely manner. That’s a gap of 61%. If I was doing business with a company that answered my queries only 17% of the time, I’d find another company to do business with.

Corporate America certainly understands this and is responding. In my own life, I use Comcast, PG&E and various web service companies a great deal, and, like you, I sometimes have the need to contact them. In each case, their response time has gotten much faster, and the process of contacting them has gotten easier (not that it’s pleasant…). So kudos to them for that.

Wineries don’t have as good a track record. It seems to me they could be doing a much better job reaching out and staying in touch with customers or potential customers. You might think that bigger wine companies have an easier time of it, because they have bigger budgets and can afford to hire communications experts, including digital ones. But bigger wineries also have more demands from their customers, so it all kind of evens out in the end.

The “conviction” issue is interesting. It means that consumers want their brands to have “a clear mission and purpose,” even to the extent of “driving change in the world.” We’re told that Millennials in particular feel a sense of obligation to the world’s problems and, in that sense, they’re more likely to support a company that, for instance, helps the environment. But this is a tricky business: oil companies (Chevron, for instance) tout their environmental concerns, but lots of consumers don’t believe it; they think Chevron is “greenmailing”—telling lies to further their actual cause, which is making profits.

How can a winery tout its “convictions” in such a way as to seem authentic, not phony? It’s vital for companies to figure this out, because a phony conviction can have a backlash. I think there are two ways of doing it: one is to avoid getting stuck with a negative image in the first place (the way the oil companies did), because then you don’t have to tear down those walls of suspicion. The second way is to get your message out, clearly and directly. This, too, is problematic: if you tout your do-goodness too much, people will say you’re just trying to win their friendship (and their money). If you don’t say anything at all, nobody will know about your good deeds. The challenge is to talk about yourself in such a way as to inform people but not lose their trust.


That new Bordeaux ad campaign wants it both ways

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There is something fundamentally oxymoronic about the Bordeaux Wine Council’s new advertising and branding campaign, reported on the PRNewswire.

On the one hand, it emphasizes “innovation” through the use of taglines such as “There is so much to discover.” This implies something New Worldy about Bordeaux: it is not old and tired, but youthful and exciting, a place of endless reinvention and creativity. (Actually, I thought that was California’s claim to fame!)

On the other hand the campaign also stresses “maintaining Bordeaux traditions.” This obviously is meant to appeal to the broad stratum of international perception, possibly subliminal, that Bordeaux is all about ancient history and venerability; what Professor Saintsbury called (as Claret) “the queen of natural wines.”

One can spot the internal contradiction immediately: A thing cannot simultaneously be modern as well as traditional. At least, it can’t in reality—that is squaring the circle–but it can be in the magical thinking of a marketing campaign that contains a little bit of something for everyone. Thus the contradictions exist, side by side.

For the last several decades, Bordeaux has struggled with this identity crisis. It knows that a younger generation doesn’t give a hoot about its history and tradition, so it needs to appeal to them by making Bordeaux seem modern. This is the thinking behind the Council’s “Today’s Bordeaux” meme, wherein wines costing $55 or less are recommended as having been tasted by “our Wine Buffs.” Wine Buffs? Professor Saintsbury is turning in his grave at this crime of Franglish—an Americanism that would otherwise be condemned by the French as vulgar. “Wine Buffs” indeed! Good heavens, imagine telling Baron Rothschild he was a Wine Buff!

I certainly don’t blame the Bordeaux Wine Council. They have to market, same as everyone else; they’re just trying to find a formula that works. Why now? This is the ideal time for a re-invented brand identity,” the Council’s president said. It’s ideal because the world is emerging from the Great Economic Slowdown (at least, we hope it is) and people seem a little more willing to spend money on wine. And then too, the Millennials are getting older and they want their wine. But just as important as “Why now?” is the question of “Where?” The seven markets the campaign will focus on are the U.S., France, U.K., Germany, China, Belgium, and Japan—in other words, Bordeaux’s traditional markets, plus China and Japan, which is where the money is in East Asia.

Bordeaux always has been about aspiration, and the Council is betting it still is. For all the talk about Millennials being qualitatively different from Baby Boomers, it turns out that they’re just as conventional as their parents and grandparents. Millennials are ambitious, strive for career success, and they seek a satisfying personal life beyond work. They’re into “personal authenticity” (who isn’t?) and “want to spend time with their families and fulfill career aspirations.” They are, in other words, yet another “wants it all” generation. And part of “having it all” is, of course, the Good Life, which involves good food, good wine and what we here in California think of as a Sunset Magazine lifestyle. That fits in well with the Bordeaux Wine Council’s strategy. It may be a little oxymoronic to mosh traditional and modern together into one big, unwieldy package, as I said; but then, the lives of Millennials, as of us all, are oxymorons. “Do I contradict myself? Very well then I contradict myself, (I am large, I contain multitudes.)” Walt Whitman, who I bet liked to drink, would be 195 years old, if he was still alive.

Walt


What is a wine with “personality”?

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While we’re on the subject of storytelling (we are, in case you haven’t been reading steveheimoff.com lately), let’s consider the role of personality in a story. “A personality” is what people call a person who isn’t bland or forgettable, but instead someone who impresses himself on others through the sheer force of—well, personality.

Keep in mind the origins of our word “personality”: from the Latin persona, literally, “an actor’s face mask.” While each human being by definition has a “personality” (in the sense of a collection of personal characteristics), I’m more interested in what we mean when we say of someone, He’s a real personality,” as Jennifer Garner did of Matthew McConaughey, her co-star in Dallas Buyers Club. He’s a fantastic actor and he’s a real personality and he’s charismatic as hell,” she said in an interview.

“He’s a real personality” is also how a sports commentator referred to former Packers quarterback Brett Favre.

Clearly something more than just a collection of traits is going on here; people who impress us as “real personalities” have extra qualities that grab our attention and make us remember them—for better or for worse. That, I think, is the key to understanding the remark yesterday by a Tuscan winery owner concerning Chianti’s top-tier classification, Gran Selezione.

“The problem,” said Lorenzo Zonin, “was that Chianti Classico and Chianti Classico Riserva were almost a commodity, wines that didn’t have such a strong personality, so they said we have to find a way to give a value to such products that are outstanding.”

“Strong personality?” Is Mr. Zonin talking about the wine’s organoleptic qualities, or is he talking about the perception of the wine among the critical community and consumers? I confess I don’t know, but this meme of “personality” in wine ties in nicely to the storytelling aspect that has enveloped wine lately. It seems that every winery—and its marketing team—wants consumers to form a personal bond with the wine—as if they have a stake in it. This is the elusive “personality” of the wine that makes it distinct from every other wine.

Does having “a personality” add value to a wine? Why? Is it because the wine really does have objectively valuable extra qualities, or is it because the winery says it does? This is the eternal question.

winepersonality

 


How do you know it’s not just a trend?

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Back in 1999, a wine writer, Randall Murray, called Sangiovese “the next Merlot,” by which he meant that the red grape native to Tuscany was poised to become one of the leading red wines of California.

Never happened, did it? Actually, by 1999, Sangiovese already had one foot in the grave. Ten years prior, one might have been forgiven for betting on it, but by the approach of the new Millennium, I think most of us knew that Sangiovese was in trouble in California.

Sangiovese in California was, in fact, a trend. Those who invested heavily in it, like Piero Antinori, failed to make good their hopes. Another more recent trend might be Moscato. After an amazing leap to prominence in the previous decade, sales of the wine were off dramatically last year, compared to the previous two years. Will the growers who installed so much Moscato regret their decision in 2020? If they do, it will be because, by then, we’ll know that Moscato was yet another trend.

This is the risk growers face. How do they know what variety has staying power? It’s quite easy to know when something is not a trend. Pinot Noir is not a trend. The wine company that invests in Pinot acreage in prime growing areas can be confident it is making a wise decision. It’s a lot harder to know when something is a trend. Growers exist in a tense world torn always between the realities of the past, the urgency of the present, and the exigencies of an unpredictable future. Granted, if they make a mistake, they can always graft their vines over to another variety. But this still causes them to lose precious years of productive time and money.

The ability to tell the difference between a trend and a real paradigm shift extends beyond the wine industry into all areas of retail. Companies have always hoped to cash in on trends (baby products, skincare, technology and fashion are among the top exemplars in this category). Apple Computer obviously succeeded better than anyone else in tech in trendspotting. In the fast-changing culture of 21st century America, where nothing seems fixed and permanent anymore, you might think CEOs are constantly looking for the next trend. But in what the Wall Street Journal is calling “a broader shift in retail,” more and more companies are showing “a preference for operators over trend spotters,” causing them to seek leaders “whose strength is in the nuts and bolts of retailing rather than flashy merchandising.”

The word “operators” refers to the operational skills of CEOs and their teams: the ability to actually move product, in a nation in which the middle class is uncertain and online shopping threatens traditional retail. Under such circumstances, it may only be natural for company leaders to take more conservative positions than in boom times, when experimenting on trendy new products—flashy merchandise–makes more sense because everyone has more money, and a company can afford a temporary setback. Nowadays, even a temporary setback may be a company’s tomb. Since one can never predict the future, and the success or failure of strategies can be measured only in retrospect, it’s too early to say whether or not this new, back-to-basics approach is not itself a trend.

For the wine industry, the portents are hard to read. A smart wine company cannot assume that what seems popular today will be popular in five years. At the same time, the smart winery can’t bury its head in the sand, ignoring evidence that things are changing. Success is always a matter partly of luck, but also of wise planning and an uncanny sense of what the future will bring; and planning itself involves no small degree of risk. My own advice to wine companies is to resist being seduced by the allures of current trends; what has worked in the past is likely to work in the future. If you’ve been doing something well for a long time, and there’s something glittery on the horizon that makes you worry because some people are all mesmerized by it, take measured steps. Don’t take the glitter for granted: check it out, understand it, be smart in analyzing what is it and where you think it’s going. But don’t make a wholesale leap and change your entire strategy just to ride a trend. If you do, you risk becoming the next Sangiovese.


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