“Marketing Wine to Generation X” A work in progress By Roz Howard and Jenny Stonier NSW Wine Press Club Fellowship

“Marketing Wine to Generation X”

A work in progress

ByRoz Howard and Jenny Stonier

NSW Wine Press Club Fellowship

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Copyright Roz Howard & Jenny Stonier 2001

Your journey into wine

• What was it like for you?

• Was it love at first sight/taste?

• Let’s think back to our first wine experiences...

• Positive experiences?• Entertaining? Exhilarating? Euphoric?

• Let’s think outside the square. WOW.

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Today’s Objectives

• Describe Generations X Y & Z

• Appreciate the universal traits

• Identify Generation X’s wine consumption trends

• Explore how wine marketers can turn this around

• Focus on ‘The human experience’

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Today’s Many Generations(Australia)

Description Birth Age (2001) Share

“Ancients” Before 1925 >76 5%

“Oldies” 1925- 1942 59- 76 13%

Baby- B’s 1943- 1960 41- 58 24%

Gen X 1961- 1980 21- 40 30%

Gen Y 1981- 2000 <21 28%

Gen Z 2001- 2019 0 ?

Source :I BI S Business I nformation Pty LtdCopyright 2000, I BI S Business I nformation Pty Ltd

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Fellowship Objectives

• To gain an understanding of the psychographics (measurement of activities, interests and opinions) of Generation X,

• To improve the acceptance by and marketing of wine to Generation X’ers,

• To develop a plan to recruit them.

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What is Generation X?

• Generation X refers to people born from 1961 to 1980

• This refers to 5.74 Million Australians• 30% of the population 21-25 year olds (Workforce entry group)

26-33 year olds (Main marrying group)34-40 year olds (Main child bearing group)

Source :IBIS Business Information Pty LtdCopyright 2000, IBIS Business Information Pty Ltd

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Current consumption statistics

• Wine had a disproportionately low share of consumers in the 18-24 age cohort.

• 36% Beer Drinkers• 32% Spirit Drinkers• 21% Drinking Wine vs 31% for the total

Australian population drinking wine.

Source: ABS & Lawrie Stanford, Wine Industry Analyst, AWBC, Wine Industry Journal (Jan/Feb 2000)

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Current consumption statistics

• Sales of wine within Australia are growing annually at a rate of only 2%.

• This is not high enough to sustain existing increases in wine production.

OPPORTUNITYBy applying new tactics to marketing, the wine industry could see Generation X becoming responsible for 50% of Australia’s wine buying between 2005 and 2015.

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Method

• Literature Review• Survey schedule of Australian Gen Xers• (Involved) Surveys of 636 Wine Australia,

Australian Society of Wine Education Tasting Theatre participants (Gen X=393, 40+=243)

• (Highly Involved) Surveys of Wine Production students at Charles Sturt University at Wagga

• (Not Involved) Surveys of Marketing students at University of SA

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Did you grow up in a family where wine was regularly drunk in the

home?

48%

28%

0%

10%

20%

30%

40%

50%

Gen X 40+

Yes

n=636

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Is wine the main alcoholic beverage you drink?

45%

69%

87%79%

0%

20%

40%

60%

80%

100%

20-24 25-32 33-39 40+

Yes

n=636

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When buying wine, which of the following influences do you take into

account?• Recommendation by retail staff• Wine waiters• Show awards• Wine reviews• Recommendations from friends and family• Packaging and labelling• Discounts or special offers• Price• Visits to wineries• Advertising

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When buying wine, which of the following influences do you take into

account?• Recommendations from friends and family

60%

43%

0%

10%

20%

30%

40%

50%

60%

Gen X 40+

A lot

n=636

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What influences wine buying decisions.

• Wine reviews

54%49%

0%

20%

40%

60%

Gen X 40+

A lot

n=636

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• Visits to wineries

41%

54%57%

51%

0%

10%

20%

30%

40%

50%

60%

20-24 25-32 33-39 40+n=636

A lot

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• Recommendation by retail staff

22% 21%

11%

17%

0%

10%

20%

30%

40%

50%

20-24 25-32 33-39 40+n=636

A lot

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• Wine waiters

16%

22%

12% 12%

0%

10%

20%

30%

40%

50%

20-24 25-32 33-39 40+n=636

A lot

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Ranking of buying influences on Gen X

Most

Least

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Recommendations to the Wine Industry. Part 1

• Target Friends and Family, Opinions Leaders• Third Party endorsement

• Continue to provide wine reviewers with finished samples and interesting facts

• Recognise the importance of visiting ‘the source’• Plan & Promote wine tourism experiences • Train Wine Makers in the Art of Public Speaking

and Customer Service or…

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• Train retail and hospitality staff to effectively communicate with 20-32 year olds

• Don’t Patronise Gen Xers

• Encourage wine industry networking and career growth

• Design Products, Packaging and Labelling which reflect the integrity of the company

• Broaden wine advertising to...

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• Make learning about wine fun and interesting :-)

• Promote responsible consumption and get ‘on side’ with womens & health magazines espousing a zero alcohol consumption lifestyle

• 4 P’s what about the 4 B’s?

22Source: Australian Men’s Health May 2000

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• The beverage market is competitive, target the future wine market NOW!


A work in progress




A work in progress



Documents

“Marketing Wine to Generation X” A work in progress By Roz Howard and Jenny Stonier NSW Wine Press Club Fellowship