Vineyard & Winery Management

November/December 2014

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w w w. v w m m e d i a . c o m N o v - D e c 2 014 | V I N E YA R D & W I N E RY M A N A G E M E N T 2 3 to their nearest UPS or FedEx store and picked up later (depending on the carrier you use). Rich Heritage of Heritage Vine- yards in Mullica Hill, N.J., offers shipping discounts around the holi- days, usually two weeks before Christmas, to customers who buy a certain dollar amount or more. He has seen Heritage Vineyards' aver- age number of bottles purchased per order jump considerably, espe- cially with customers who are look- ing for the perceived value buy. OTHER OPTIONS Check airlines to see if they offer any shipping options. For exam- ple, if you travel on Alaska Airlines and are a member of its mileage club, you can check as many as 12 bottles of wine for free on flights originating from Charles M. Schulz Sonoma County Airport in Califor- nia. The wines must be packed for shipping, as they go in the baggage compartment and not in the cabin. Alaska Airlines also offers this ser- vice at selected airports in Oregon and Washington state. Amber Moshin of Moshin Vine- yards in California's Russian River Va l l e y r e c o m m e n d s t h e W i n e Check bag, a great item not only for through the winery or have minimal outside distribution, remind cus- tomers that your winery is the only place they can get the wine. COSTS VS. BENEFITS Six Sigma Winery in Lake Coun- ty, Calif., is testing the use of free shipping to satisfy wine buyers. According to the winery's Christian Ahlmann, Six Sigma recognizes that many other industries offer some free-shipping options. "Obviously, the free shipping only works if we do the math right and still maintain a respectable gross margin," he said. This is a key point, particularly if the wines are not high-margin. Wineries are finding that more customers are asking about dis- counts on shipping. Ed St. John, VP of sales and marketing at Pedron- celli Winery in Geyserville, Calif., said: "Customers ALWAYS ask if there is free shipping or at minimum a discount. It is a powerful tool, and almost a 'must' these days … (but) less margin to work with." Annette Bergevin of Bergevin Lane Vineyards in Walla Walla, Wash., added: "We are lucky if we come close to breaking even on our shipping costs. However, we find that by reducing our shipping costs, we increase bottle sales. Our cus- tomers would rather spend their money on more wine than worrying about shipping charges." M a r g i e C e b a l l e s , w i n e c l u b manager for Black Mesa Winery in Velarde, N.M., offers reduced ship- ping rates only one time per year, on "Black Friday" (Thanksgiving) weekend. Black Mesa has offered free shipping in the past, but dis- continued it because the costs were too high. The winery has also offered a one-time free shipping option to wine club members who have been in the club for two years; Ceballes said that program has worked well. She also mentioned that it's not only the cost of shipping, but also the inconvenience for customers who may not be allowed to receive their shipments where they work. I suggest that you remind these cus- tomers the wine can be delivered customers who don't want to pay shipping charges, but also for those who reside in states without direct shipping. Wine Check is a 12-bottle wine shipping box inside a durable bag. It has a strap and wheels so it's easy to handle. Shipping a case of wine across the country is $60; checking a case of wine at the air- port will cost somewhere between $20 and $30. Moshin sells the Wine Check bags at the winery ($70), offering an instant solution to ship- ping problems. Most of your customers under- stand that the cost of shipping is the price they have to pay (pun intended) to take your wonderful wines home with them. Enjoying the bottles and sharing them with others can rekindle the memories of their fabulous holiday in the wine country – wherever that wine coun- try may be. Elizabeth Slater is the owner of In Short Direct Marketing, a direct marketing company that works with individual wineries and winery associations. Comments? Please e-mail us at feedback@vwmmedia.com. With the Wine Check, air travelers can safely bring home a case of wine as checked luggage. WINE WISE MARKETING ELIZABETH SLATER

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