3. 3Bus-810W
DTC Marketing
• Currently CEO Astra Digital Marketing Services and
FlyWithWine
• Instructor, SSU Wine Business Institute – 4 Years
• Previously 2 years as COO of Chatterbox Wine Marketing
Services and VinoVisit.com
• Previously 7 years as President of eWinery Solutions
• Previously 2 years as COO of New Vine Logistics
• Previously 4 years as CEO of Morrell Wine Group
• 15 years as a specialty retailer
• MBA Cornell University Johnson School of Management
• Lover of all things food & wine
• Passionate about direct to consumer wine marketing
• More info on LinkedIn at http://bit.ly/2cRRL5C
Who am I and Why am I here?
7. 7Bus-810W
DTC Marketing
THE TRUTH IS, ITS HARD. VERY HARD.
It is hard to capture the essence of your brand online. This is everyone’s
challenge.
Visitors are exposed to a number of stimuli that help frame their experience at
your winery. They breathe fresh warm air that blows across the valley floor as
they enjoy expansive views, marvel at architectural details, and soak in the
overall ambiance of your tasting room during their visit. All of these things help
engage and interest them.
19. 19Bus-810W
DTC Marketing
Looked at Another Way
The faithful gather in 2005 near St. Peter's to witness Pope John
Paul II's body being carried into the Basilica for public viewing.
St. Peter's Basilica at the Vatican, on March 13, 2013
20. 20Bus-810W
DTC Marketing
THE WEB HAS BEEN GROWING FASTER THAN STORES….
*Source: U.S. Commerce Dept., Internet Retailer
Note: All other retail sales excludes auto dealers, gasoline stations and fuel dealers, and restaurants and bars.
34. 34Bus-810W
DTC Marketing
Answer the Important 3 Questions:
1) Why do I exist? (My Brand)
2) Why should you care? (The Consumer)
3) How do I measure success? ($$, Visitors)
50. 50Bus-810W
DTC Marketing
Latest Stats February 2017
• 234 Million Adults in U.S.
• 14% High Frequency Drinkers
• = 33 Million HF Drinkers
• 24% Occasional Drinker
• = 56 Million Occasional Drinkers
• Total = 89 Million Prospects
*Wine Market Council – 2016 High Frequency Wine Consumer Study
51. 51Bus-810W
DTC Marketing
*Wine Market Council – 2016 High Frequency Wine Consumer Study
234 Million Adults in U.S.
14% High Frequency Drinkers
= 33 Million HF Drinkers
59. 59Bus-810W
DTC Marketing
How Not to Lose Out In the Future
Communicating to the customer has
become considerably more challenging as
a result of the transformation from word to
visual.
It’s all about the execution.
72. 72Bus-810W
DTC Marketing
Retention: The Heart of the Matter
AT THE CORE OF DIGITAL RETENTION:
USERS CAN LEAVE YOUR BRAND FOR
SOMEONE ELSE.
ALWAYS REMIND CUSTOMERS WHY THEY
FELL IN LOVE WITH YOU
IN THE FIRST PLACE
74. 74Bus-810W
DTC Marketing
The DNA of Customer Loyalty
The three results that reflect the general components of
customer “emotional” loyalty programs are:
• Retention – keeping customers
• Advocacy – getting new customers through
recommendation
• Life Time Value – increasing spend and frequency from
existing customers
75. 75Bus-810W
DTC Marketing
Emotional loyalty demands:
1) Consistency across channels
2) Relevant and timely promotions
3) Customer intimacy; and
4) A real excite and delight element built on top of a standard
“I’ve got great wine to sell at a good price” story.
The DNA of Customer Loyalty
77. 77Bus-810W
DTC Marketing
Whether a customer buys wine in your tasting room, or on
your website, their information flows to one central
location.
Tangible benefits:
Full purchase history in one system
Segmenting customers for marketing
Customer can access their profile online
Access customer information from anywhere
One central customer record shared across
multiple systems
Tasting
room
Wine club
Website
Customer
Relationship
Loyalty: One Customer, One Database
79. 79Bus-810W
DTC Marketing
CRM – Customer Relationship Management
Simply put, CRM is putting customers at the heart of a business.
Today it is more important than ever to build better
relationships with customers as, in this day and age of social
media, they now talk to ???? people at a time.
With the support of technology, the goal of CRM is to have a
360-degree view of the customer which will enable you to
improve the quality and satisfaction of each customer interaction
and maximize the profitability of customer relationships.
80. 80Bus-810W
DTC Marketing
360 Degree View of Your Customer
Information about your members collected at each touch point outside your
website should be attached to the member profile record, creating a complete
view of your customer.
82. 82Bus-810W
DTC Marketing
Know Thy Customer
1. How do you define your target audience (age-group, gender, education,
income, likings, ethnicity, lifestyle etc) and where majority of them live?
2. Who are your best customer types in terms of revenue generation and
why?
3. What kind of relationship you want to build with your target audience?
4. What are the desires and expectations of your target audience?
5. What is the level of product use? Are your customers loyal to you?
6. What are the most common objections raised by your customers?
7. Who are the actual decision makers (who has the final say)?
83. 83Bus-810W
DTC Marketing
Filter and Segment Data
• CRM tools filter and segment data.
• The first step to understanding how
to market and sell to your customers
and prospects is to first build custom
fields to segment by preferences,
buying habits and behaviors.
• Filtering tools are used to create
custom marketing lists so that the
right message is delivered to the
right customer at the right time.
90. 90Bus-810W
DTC Marketing
WHAT MAKES UP A DIGITAL MARKETING PLAN (4 CORE THINGS)
1. OBJECTIVE
2. STRATEGY
3. TACTICS
4. SCHEDULE
(*Why*) The over-arching business problem you
were tasked with solving
(*What*) Your approach, the layer between the
business problem, and how exactly you did it.
(*How*) The means you took to satisfy your
strategy, the actual details of how you executed
(*How Much*) Which partners, for how much, and
how long.
92. 92Bus-810W
DTC Marketing
WHAT MAKES UP A DIGITAL MARKETING PLAN
1.
OBJECTIVE
(*Why*) The over-arching business
problem you were tasked with solving
Your objective should be:
• Come from a company-wide KPI
• Clear
• Actionable
• Map directly to a company-wide KPI
93. 93Bus-810W
DTC Marketing
WHAT MAKES UP A DIGITAL MARKETING PLAN
EXAMPLES OF OBJECTIVES:
1.
OBJECTIVE
(*Why*) The over-arching business
problem you were tasked with solving
Increase the number of website visitors and/or
conversions
Increase the # of email addresses we have in our
database
Increase visitor traffic/wine club signups at the winery
tasting room
94. 94Bus-810W
DTC Marketing
WHAT MAKES UP A DIGITAL MARKETING PLAN
2.
STRATEGY
Your strategies should be:
• Clear
• Actionable
• Map directly to your objective (how are they solving your biz problem?)
• The hardest part of a digital media plan.
(*What*) Your approach, the layer between the
business problem, and how exactly you did it.
95. 95Bus-810W
DTC Marketing
LETS MARRY THEM TOGETHER
Target your demographic audience on
the social networks they visit most with
best selling wines, or other special
offers
Encourage new site visitors to redeem
an introductory offer in exchange for
their email address
Drive traffic by promoting off-site
tasting events and community-oriented
events, focusing on Bay Area residents
1.
OBJECTIVE
2.
STRATEGY
Increase the number of website
visitors/conversions
Increase the # of email
addresses we have in our
database
Increase visitor traffic to the
winery tasting room
96. 96Bus-810W
DTC Marketing
5. PRICING 6. COSTING
7.
PARTNER
SELECTION
WHAT MAKES UP A DIGITAL MARKETING PLAN
1.
OBJECTIVE
2.
STRATEGY
3. TACTICS
4.
SCHEDULE
99. 99Bus-810W
DTC Marketing
ONCE TRAFFIC IS IN THE DOOR IT CAN DO MANY THINGS (DIGITALLY-
FOCUSED)
BOOK A TASTING
BUY WINE
JOIN A WINE CLUB
POST A REVIEW
DOWNLOAD
RECIPES
RE-ENGAGEMENT
SHARES
BROWSE - TIME ON
SITE
VIDEO PLAYS
ENTRIES/VOTES
100. 100Bus-810W
DTC Marketing
5. PRICING 6. COSTING
7.
PARTNER
SELECTION
WHAT MAKES UP A DIGITAL MARKETING PLAN
1.
OBJECTIVE
2.
STRATEGY
3. TACTICS
4.
SCHEDULE
102. 102Bus-810W
DTC Marketing
AVERAGE CPC GUIDELINES + OBJECTIVES
Base Additions (each is an incremental cost)
Avg. Untargeted
CPC Gender Age Interest Occupation Education Geo
$0.35 +$0.25 +$0.25 +$0.30 +$0.25 +$0.15 +$0.45
In other words, a fully loaded CPC would be $2.00
103. 103Bus-810W
DTC Marketing
5. PRICING 6. COSTING
7.
PARTNER
SELECTION
WHAT MAKES UP A DIGITAL MARKETING PLAN
1.
OBJECTIVE
2.
STRATEGY
3. TACTICS
4.
SCHEDULE
108. 108Bus-810W
DTC Marketing
AGGRESSIVE
WHEN AN AGGRESSIVE STRATEGY IS RIGHT FOR YOU
ROI
VOLUME
• You are looking to acquire as many new
customers as possible in an effort to
gain traction and grow wine brand
awareness.
• Or you are have fewer metric constraints
(spending our budget is more important
than measuring it!)
• This strategy means being comfortable
with a higher cost per acquisition in
exchange.
109. 109Bus-810W
DTC Marketing
AGGRESSIVE OR CONSERVATIVE?
CONSERVATIVE
ROI
VOLUME
• Looking to maintain the best profit
margin possible,
• You are much more metrics-driven, or
potentially cash-strapped.
• This strategy comfortable with simply
acquiring less new customers.
110. 110Bus-810W
DTC Marketing
Are you comfortable acquiring new users at a loss? (spend $10, make $5)
Are comfortable acquiring new users & breaking even? (spend $10, make $10)
If we break even or lose money now, can we monetize these users in 3,
6, 12 months?
How good were we this month at getting our existing customers to come
back and spend time on our site?
How many new users do you want to acquire, and in what time frame?
HINT: “As many as possible ASAP” is not good enough. Be specific.
YOUR CHECKLIST FOR RISK & COSTING
111. 111Bus-810W
DTC Marketing
5. PRICING 6. COSTING
7.
PARTNER
SELECTION
WHAT MAKES UP A DIGITAL MARKETING PLAN
1.
OBJECTIVE
2.
STRATEGY
3. TACTICS
4.
SCHEDULE
112. 112Bus-810W
DTC Marketing
FOR YOUR 1ST DIGITAL PLAN, KEEP YOUR PARTNERS SIMPLE
Fee’sFee’s
SocialSocial SearchSearch B2BB2BDisplayDisplay
114. 114Bus-810W
DTC Marketing
Customer Acquisition
• Wine club signup
– Most traditional tasting room business model
• Digital and Social Marketing
• Email Campaigns
• Telesales
• Direct Mail, Catalog
– Can still be effective; can drive ecommerce conversions
• Social media, events, other
115. 115Bus-810W
DTC Marketing
LET’S SAY YOU RUN A WINERY THAT HAS THE
FOLLOWING CRITERIA:
EXAMPLE
WORLD’S GREATEST WINES
Price $100
Goal ROI 200%
Goal New Customers 1,000
Average Conversion
Rate
2.00%
Expected Cost Per Click $1.00
116. 116Bus-810W
DTC Marketing
Winery Digital Metrics
Key Metric Benchmarks Test Campaign
Online Sales 1 100
Avg Online Sale $100 $10,000
Sale Conversion Rate 2% 2%
Visits Required 50 5,000
Cost per Click (CPC) $1 $1
Cost per Sale $50 $5,000
Click thru Rate (CTR) 1% 1%
Impressions Required 5,000 500,000
Cost per Thousand (CPM) $10 $10
116
118. 118Bus-810W
DTC Marketing
If You Do Not Pay to Advertise on
Facebook, It Is Estimated That You Only
Reach 3-5% of Your Fan Base
Forbes.com
119. 119Bus-810W
DTC Marketing
LAST BUT NOT LEAST,
BEFORE DOING ANY ADVERTISING
THINK:
HOW GOOD ARE WE DOING THINGS
NOW BEFORE WE PAY FOR
TRAFFIC?
120. 120Bus-810W
DTC Marketing
What is the Conversion Rate, Average Order Value, and Time Spent for:
Our best traffic source
Our worst traffic source (with the most visits)
Our highest traffic source
Do we have appropriate landing pages to make our desired action as simple &
easy as possible
Are we confident that paid traffic is going to help us do more of the desired
action we want
Are we maximizing what we are getting out of our organic/free traffic (existing
partnerships, search, etc.)
YOUR CHECKLIST FOR HOW GOOD WE ARE
121. 121Bus-810W
DTC Marketing
Final Thoughts
Things to consider in your DTC marketing strategy:
•What makes you different or your story compelling?
•How do you deliver the message to visitors in person or digital?
•Why should they care?
•What is your plan for building and maintaining customer loyalty?
At the broadest level, we create content to drive brand awareness within our target market. Your videos, blog content, social media presence represent most trustworthy outlets in customer’s eyes.
At the broadest level, we create content to drive brand awareness within our target market. Your videos, blog content, social media presence represent most trustworthy outlets in customer’s eyes.
At the broadest level, we create content to drive brand awareness within our target market. Your videos, blog content, social media presence represent most trustworthy outlets in customer’s eyes.
What we find, and why this relates to site design, is that so many ecommerce companies say to themselves, ‘I need to increase revenue! I need to increase visits!’ Well, yes, this is true, but it’s not the whole picture.
Conversion rate is actually a pretty good high-level indicator of the performance of your site design. That may be a new way to describe site design for many of you. It might look absolutely stunningly gorgeous, but if your redesign drives half the conversion rate of your previous site, then it’s performing poorly.
As an industry benchmark - and this does vary depending on a number of factors - a conversion rate between 1% and 2% is what we’d call healthy. Really we love to see 1.5% and higher, but for some sites 1% is okay too. If you’re less than 1%, things become very difficult for you. Here’s why:
Let’s go back to our friend who wants to increase revenue by increasing visits. Obviously, any significant increases will result from successful marketing and/or advertising campaigns, which typically cost money. If your site has a poor conversion rate, then it’ll still leak many potential customers no matter how many visitors you pour into the top.
All of this is to say that for many ecommerce business owners, when they look to grow their business, their first ideas are typically marketing related. It pays to examine your site first, though. Because if you’re able to design and build a well-oiled machine of a site, it will pay itself back many many times over through higher conversions on your brilliant marketing ideas.
What we find, and why this relates to site design, is that so many ecommerce companies say to themselves, ‘I need to increase revenue! I need to increase visits!’ Well, yes, this is true, but it’s not the whole picture.
Conversion rate is actually a pretty good high-level indicator of the performance of your site design. That may be a new way to describe site design for many of you. It might look absolutely stunningly gorgeous, but if your redesign drives half the conversion rate of your previous site, then it’s performing poorly.
As an industry benchmark - and this does vary depending on a number of factors - a conversion rate between 1% and 2% is what we’d call healthy. Really we love to see 1.5% and higher, but for some sites 1% is okay too. If you’re less than 1%, things become very difficult for you. Here’s why:
Let’s go back to our friend who wants to increase revenue by increasing visits. Obviously, any significant increases will result from successful marketing and/or advertising campaigns, which typically cost money. If your site has a poor conversion rate, then it’ll still leak many potential customers no matter how many visitors you pour into the top.
All of this is to say that for many ecommerce business owners, when they look to grow their business, their first ideas are typically marketing related. It pays to examine your site first, though. Because if you’re able to design and build a well-oiled machine of a site, it will pay itself back many many times over through higher conversions on your brilliant marketing ideas.
What we find, and why this relates to site design, is that so many ecommerce companies say to themselves, ‘I need to increase revenue! I need to increase visits!’ Well, yes, this is true, but it’s not the whole picture.
Conversion rate is actually a pretty good high-level indicator of the performance of your site design. That may be a new way to describe site design for many of you. It might look absolutely stunningly gorgeous, but if your redesign drives half the conversion rate of your previous site, then it’s performing poorly.
As an industry benchmark - and this does vary depending on a number of factors - a conversion rate between 1% and 2% is what we’d call healthy. Really we love to see 1.5% and higher, but for some sites 1% is okay too. If you’re less than 1%, things become very difficult for you. Here’s why:
Let’s go back to our friend who wants to increase revenue by increasing visits. Obviously, any significant increases will result from successful marketing and/or advertising campaigns, which typically cost money. If your site has a poor conversion rate, then it’ll still leak many potential customers no matter how many visitors you pour into the top.
All of this is to say that for many ecommerce business owners, when they look to grow their business, their first ideas are typically marketing related. It pays to examine your site first, though. Because if you’re able to design and build a well-oiled machine of a site, it will pay itself back many many times over through higher conversions on your brilliant marketing ideas.
Prospects want content that relates to their interests. Think beyond your wine, and connect with a broader lifestyle.
What we find, and why this relates to site design, is that so many ecommerce companies say to themselves, ‘I need to increase revenue! I need to increase visits!’ Well, yes, this is true, but it’s not the whole picture.
Conversion rate is actually a pretty good high-level indicator of the performance of your site design. That may be a new way to describe site design for many of you. It might look absolutely stunningly gorgeous, but if your redesign drives half the conversion rate of your previous site, then it’s performing poorly.
As an industry benchmark - and this does vary depending on a number of factors - a conversion rate between 1% and 2% is what we’d call healthy. Really we love to see 1.5% and higher, but for some sites 1% is okay too. If you’re less than 1%, things become very difficult for you. Here’s why:
Let’s go back to our friend who wants to increase revenue by increasing visits. Obviously, any significant increases will result from successful marketing and/or advertising campaigns, which typically cost money. If your site has a poor conversion rate, then it’ll still leak many potential customers no matter how many visitors you pour into the top.
All of this is to say that for many ecommerce business owners, when they look to grow their business, their first ideas are typically marketing related. It pays to examine your site first, though. Because if you’re able to design and build a well-oiled machine of a site, it will pay itself back many many times over through higher conversions on your brilliant marketing ideas.