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1 BUS-800-102-14-SU Wine eCommerce BUS-800-102-14-SU: Wine eCommerce Presented by: Julian Scharman June 11, 2014 Session: 6

Wine eCommerce - Selling Wine In a Social World

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Despite an industry that is slow to adopt & embrace social media, wineries have a unique advantage to selling socially: people drink socially, and wineries are eager to share the winemaking process (same can't be said for manufacturing in other industries). In this lecture I delivered at Sonoma State, I cover principles of developing a social voice, how to post, the customer journey to purchase (and how social media plays into it), and fundamental truths about how to grow your follower base faster.

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Wine eCommerce

BUS-800-102-14-SU: Wine eCommerce

Presented by: Julian Scharman

June 11, 2014 Session: 6

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WHAT WE’LL COVER. What is Social Commerce

Why Companies Suck at It.

Principles of Social Marketing

How Discover Works for the Customer

Winery Growth Hacker Tips

Social No-No’s

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Wine eCommerce

ME.

Ø  Head of Customer Acquisition @ Betabrand

Ø  6 Years in SF Digital Media Agencies

Ø  Wine drinker, pork lover

Growth Marketer

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WHAT IS SOCIAL COMMERCE

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WHAT’S ALL THE COMMOTION?

Selling goods or services on the social web via:

photos, videos, links, posts, tweets, pins, blogs, +1’s, ‘grams

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IT’S VITAL TO THE WINE INDUSTRY

1.  Unifies users across devices and platforms

2.  80% use social to plan trips (ex. to wineries)

3.  People are there, wineries have no choice

3 reasons it matters

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A HISTORY OF SOCIAL NETWORKS IT’S LONG.

WE’RE NOT COVERING IT

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WHY COMPANIES SUCK AT IT.

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“”

…and then social media shows ups, and just blows open the kimono on brands. They are just standing their like

"holy s***”, what am I suppose to do", everything we've ever done and anything we've ever been is now on the

table...

“ Sasha Strauss, Innovation Protocol

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“”

…and then social media shows ups, and just blows open the kimono on brands. They are just standing their like

"holy s***”, what am I suppose to do", everything we've ever done and anything we've ever been is now on the

table...

“ Sasha Strauss, Innovation Protocol People expect to see under the hood.

Opportunity for wineries to show the process!

Unlike other industries, wineries would love

to show you how it’s made & where!

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YET WINERIES ARE SLOW TO ADOPT

1. Feel it lacks measurement accountability

2. Belief that Social is a Zero-Sum Game

3. Takes resources away from other channels

…while other industries embrace social

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YET WINERIES ARE SLOW TO ADOPT

1. Feel it lacks measurement accountability

2. Belief that Social is a Zero-Sum Game

3. Takes resources away from other channels

…while other industries embrace social

NOT TRUE.

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It’s up to us to change the perception of how wineries think.

Stop focusing on R-O-E

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THE 4 PRINCIPLES OF SOCIAL MARKETING

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If you do these 4 things right,

You will find success

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BE AUTHENTIC

Celebrate winery culture

Don’t spew new releases

Fans are still valuable

UGC-UGC-UGC

“I know when all you care about is my wallet”

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HAVE EMPATHY

Personalize communication:

[“Thanks for coming” via FB message]

Segment social posts (e.g. WCMs only)

Help people plan their visit

Encourage reviews

“have a conversation & respect me”

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ADVOCATE

Tips for planning a visit

Make it easy to share

Early CS involvement

UGC-UGC-UGC

“look out for my interests”

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WORK FAST

Natural extension of cust. service

All levels involved (topàbottom)

1-minute=1-hour to customer

Be prepared to give up margin

respond fast to potential winery visitors/customers

$18 fee on a $45 ticket, gotta be kidding me @Ticketmaster

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SUMMARY: 4 TIPS

Be authentic Be empathetic

Be an advocate Work Fast

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We need to understand our customer’s POV.

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HOW DISCOVERY WORKS FOR OUR

CUSTOMERS

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BUILD TRUST, THEN THEY WILL BUY social is the best discovery engine, but there are 2 steps

1. Trust 2.Need

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CONSIDER YOUR FAVORITE BRAND I like harry’s.

DIS

CO

VER

Swipe: “cool” Click: “hm. cool”

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CONSIDER YOUR FAVORITE BRAND I like harry’s.

TR

UST

Tweet: “awesome” Read: “wow”

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CONSIDER YOUR FAVORITE BRAND I like harry’s.

BU

Y

Bought: “excited.” Need: “ouch”

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SUMMARY: TRUST, TRUST, BUY

FB ad friend

hotel referral

I discover you

1 I trust you

2 I buy when in

need

3

FB post

tweet

email

FB post

winery visit

Social helps each step

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SUMMARY: TRUST, TRUST, BUY

FB ad friend

hotel referral

I discover you

1 I trust you

2 I buy when in

need

3

FB post

tweet

email

FB post

winery visit

Social helps each step

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WHY IS UNDERSTANDING THE JOURNEY VITAL?

A return customer is….

10-15x more likely to buy in the future after the 1st purchase

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“Great, but I need a following first.”

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HOW TO GROW WINERY FANS FASTER

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FACEBOOK + TWITTER ARE YOUR BEST FRIENDS

1.  Facebook: use link posts only, host content on winery site

2.  Facebook: incentivize tasting room visitors to follow

3.  Twitter: Follow all major wineries, wine club members and

newsletter subscribers

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THESE GUYS MATTER TOO.

1.  Pinterest: Focus on FB/Twitter for now

2.  Google+: Have a pulse here, connected to GMAIL & SEO

3.  Include social links in all email outreach

4.  Use lightbox on winery site to capture social traffic emails

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TEST SOCIAL RETARGETING Can automatically create ads for all winery SKUs

à à

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THE SOCIAL NO-NOS.

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THE FORBIDDEN SOCIAL FRUIT

☹  There are undeniable temptations

☹  Social open nature tempts brands

to take advantage, wrongly.

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“”

DON’T ASTROTURF

ASTROTURFING

The practice of masking the sponsor of a message or organization to make it appear as though it originates from

grassroots participant(s).

“ Wikipedia

…the most common no-no

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DON’T HIDE FROM CONVERSATION …or delete comments.

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OTHER NO-NO’S.

☹  Winery staff posting fake reviews on Yelp/FB

☹  Employees pumping products in comments of

News Articles, YouTube Videos

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TO SUMMARIZE.

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Understand your customer’s journey to purchase (winery visit, fb ad, a vacation)

Follow my follower hacking tips

Don’t fake review or post w/o disclosing your connection to the winery

Be authentic, empathize, advocate, work fast.

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QUESTIONS?

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THANKS FOR LISTENING BETABRAND SSU 20% DISCOUNT CODE:

JSCHARM