(This post is the Executive Summary of an exclusive VitaBella Luxury Wine report written by Guillaume Jourdan)
Last month’s publication was dedicated to the VitaBella Luxury Wine’s model called EDGAR POE. This exclusive report has put an emphasis on the future challenges wine brands will face and how they should now rethink their communication strategy. In 2014, words such as Engagement, Real Time or Owned Media should be related to metrics if wine brands want to perform internationally. In our new February Report – “How much does opinion matter for luxury wines?” – I am focusing on a much-frequented theme: “How important are scores and comments for my wine?” In fact, either 6 or 100 euros, you have to deal with this question when you sell your wine. How do opinions matter for your wine?
With the Big Data phenomenom, the unprecedented availability of expert opinions and peer-to-peer information give wine brands access to a new source of data. Some CEOs, CMOs, VPs of Communications or Chateaux owners are even thinking these opinions might replace the global hegemony of a powerful wine critic such as Robert Parker in the future. In fact, now that Robert Parker has decided to sell his business, I hear more and more people telling me about this eventual outcome. Our job, at VitaBella Luxury Wine, is not to tell if they are right or wrong to think so, even if I have my own opinion. No, our job is to determine how their wine brands are dependent of opinions and what marketing mix and communication strategy they should define in order to reach their goals and spend time and money in the most efficient way.
For so many years I have seen wine brands spending money on communication without really understanding why, but just explaining that they have been doing
so in the past and it worked well. I know that changing habits is diffcult but things have changed dramatically over the last 10 years. Doing the same may reassure most of us but this is far from being a guarantee for a future success.
For wine estates, most of the time their new communication can be summarized in 2 words: Social Media . It is true that it is a good way to create a new relationship with wine experts and buyers. Today, user generated reviews and people tendency to consult Social Media friends about purchases are really offering new options. But does that mean wine brands should all consider opinions in the same way when they define their own communication strategy? Should all wine brands change their communication strategy and turn their back to the past and only focus on opinions.The answer is No. Why? Because opinions are only one part of the 3 pillars that influence the customers’ purchase decision. What are these 3 pillars? 1) Prior preferences, beliefs and experiences 2) information from marketers 3).input from other people. So opinions make the third pillar and the power of other people’s views varies considerably with the wines under consideration.
And our job at VitaBella Luxury Wine is to find the right balance between these 3 different pillars in order to invest wisely and not just spend money because “we used to do it in the past”. Do you still need these market researches? In other words, do you still need to measure individual buyers’ preferences, staisfaction and loyalty or should you redirect resources? The wine brands that are more dependent on opinions should rethink their strategy. But why invest heavily on the 3rd pillar if your brand is not that dependent on opinions? Why do you ignore new opportunities to strengthen brand equity if your wine brand is influenced primarily by the first two pillars?
Together with our EDGAR POE model, this new report dedicated opens new unsuspected horizons for marketing and communication in the wine ndustry.
(*Since 2003, Guillaume Jourdan has been advising more than 200 prestigious wine estates for their international communication strategy incl. Chapoutier, Hugel, Dr Loosen, Famille Perrin, Cos d’Estournel, Brad Pitt & Angelina Jolie’s Miraval…Write to Guillaume info@vitabella.fr)
