The Business of Distilling Workshop. Marketing Craft Distilleries
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1 The Business of Distilling Workshop Marketing Craft Distilleries
2 Key Elements for Success Vision. Marketing Strategy. Appropriate Tactics. Execution.
3 Market Analysis Demographic Trends. Consumer Trends. Dining/Food Trends. Economic Trends. Competitive Review. Research.
4 Trends to Consider Demographic Trends. - Baby boomers. - Growing ethnic mix. - Gender. Health and wellness. Local products. Environment: sustainability. Food/beverage super-premium. Internet e-commerce. Psychographics - Dual income households. - Millennials. - Empty nesters.
5 Sales Vs Marketing Orientation A selling orientation focuses on production. A marketing orientation focuses on the customer. The aim of marketing is to make selling superfluous. Peter Drucker
6 Branding Your Distillery Why Brand? Brand Strategy: - Awareness - Associations - Perceived Quality - Customer Loyalty - Brand Assets Trade Dress. What is Your Brand Promise?
7 Market Segmentation Finding a market. Identifying a niche. Defining and targeting the market.
8 Market Segments for Distilled Spirits Review the Trends Consumer preference for white spirits whiskies used to be the powerhouses of the spirits market no longer. the case. White spirits now driving market for their versatility and easy drinkability. Vodka is the number one spirit with over 26% of the market. Return of the cocktail with fanfare using a broader range of spirits, juices, mixers etc. Product innovation has been key to the growth of the spirits market. Premium/high end products driving growth. More pairing of food with spirits also driving growth (especially Latin and Mexican cuisine). Imported spirits driving growth imports now
9 Market Segments for Distilled Spirits
10 Four Ps of Marketing Connecting with Your Customer Product Price Place Promotion
11 Developing a Positioning Strategy Check List 1. Determine the market: what is my customer profile? 2. Identify competitors: primary and secondary. 3. Determine how consumers evaluate options. 4. Learn how competitors are perceived. 5. Identify gaps in positions held. 6. Plan and carry out the positioning strategy through marketing communication. 7. Monitor the position.
12 Positioning Strategies Product attributes: local ingredients, type of distillation, sustainable practices, organic. Benefits, problem solutions: low calorie, lower alcohol, anti-oxidants, great for mixing unique cocktails. Price and quality: price as a signal of high quality --- super-premium. Image: unique bottle, interesting label, unusual or irreverent name. Specific use: pairing with foods, for special occasions, ingredient in popular cocktail or dish. Product user: endorsed by celebrity chef. Against a valued competitor. Positioned in relation to other kinds of product: vodkas, gins, bourbons.
13 Positioning Your Product Low quality C3 High price C 2 C4 C1 Gap High quality C5 Low price
14 Price Cost analysis. Competitor surveys. Product positioning. Pricing strategy.
15 Place Traditional distribution channels. - Retail. - Foodservice. - Cost of distribution/restrictions. Direct Marketing channels. - Tasting room. - State liquor stores. - Out of state.
16 Promotional Mix Communicating with Your Target Customer Advertising Sales Promotion Public Relations Selling Strategy Direct Marketing Media
17 Advertising Bottle and label. Story behind the product and ingredients. Brochures. Collateral materials. Print ads. Web site, blogs, newsletter. Viral marketing. Videos. Apparel and give aways.
18 Sales Promotion Tasting events. Contests. Special promotions. Fairs, events and trade shows. Tours. Cross promotions. Agra-Tourism.
19 Public Relations Press kit. Press releases. Media relations/events and new releases. Community relations. Networking. Trade associations.
20 Sales Strategy Sales presentations. Sales meetings. Sales incentives. Tastings/Demonstrations. Strategic selling --- large accounts.
21 Direct Marketing Media Catalogs. Mailings or ings. E-Commerce on web site. Customer relationship management (CRM). - Lifetime customer value. - Building your customer data base. - Newsletter.
22 The Marketing Process New Market Opportunities & Changes, Trends Annual Strategy and Plan Tactical Plan Execution Results & Measurement
23 Questions?
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