A needs assessment of the Umpqua Valley wine grape industry in 2001 revealed the greatest impediment to our sustainability was a lack of coordinated marketing. By working together creatively, board members developed successful marketing strategies and effective ways to fund their strategies. After 3 years, survey data revealed that the number of visitors at participating wineries increased by 35% and wine sales increased 40% on average. Fundraising events contributed $90,000 for marketing, and seven new wineries and 11 new vineyards were established. This proves that sustainable programs can be home grown in a cooperative environment

Renquist, Stephen B

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Clemson University: TigerPrints

The Journal of Extension Volume 45 Number 6 Article 20 12-1-2007 Creative Marketing for a Small Wine Grape Region Stephen B. Renquist Oregon State University, steve.renquist@oregonstate.edu This work is licensed under a Creative Commons Attribution-Noncommercial-Share Alike 4.0 License. Recommended Citation Renquist, S. B. (2007). Creative Marketing for a Small Wine Grape Region. The Journal of Extension, 45(6), Article 20. https://tigerprints.clemson.edu/joe/vol45/iss6/20 This Ideas at Work is brought to you for free and open access by the Conferences at TigerPrints. It has been accepted for inclusion in The Journal of Extension by an authorized editor of TigerPrints. For more information, please contact kokeefe@clemson.edu. 	 JOEHOME JOURNAL GUIDELINES ABOUT	JOE CONTACT NATIONAL	JOB	BANKCurrent	Issues Back	IssuesDecember	2007	//	Volume	45	//	Number	6	//	Ideas	at	Work	//	6IAW4Creative	Marketing	for	a	Small	Wine	Grape	RegionAbstractA	needs	assessment	of	the	Umpqua	Valley	wine	grape	industry	in	2001	revealed	the	greatestimpediment	to	our	sustainability	was	a	lack	of	coordinated	marketing.	By	working	togethercreatively,	board	members	developed	successful	marketing	strategies	and	effective	ways	tofund	their	strategies.	After	3	years,	survey	data	revealed	that	the	number	of	visitors	atparticipating	wineries	increased	by	35%	and	wine	sales	increased	40%	on	average.	Fundraisingevents	contributed	$90,000	for	marketing,	and	seven	new	wineries	and	11	new	vineyards	wereestablished.	This	proves	that	sustainable	programs	can	be	home	grown	in	a	cooperativeenvironment.	IntroductionThe	popularity	of	wine	as	a	social	beverage	continues	to	grow	in	the	U.S.	During	this	century,	wineconsumption	per	capita	growth	consistently	surpassed	the	growth	in	beer	consumption.	This	trendprovides	an	additional	diversifying	economic	opportunity	for	many	farmers	and	promotes	winegrape	planting	across	the	country.Oregon	is	one	of	several	states	experiencing	a	boom	in	grape	planting.	Although	Oregon	is	thefourth	leading	wine	grape	producing	state	in	the	U.S.,	it	has	many	small,	not	yet	well-known	grapegrowing	regions.	The	American	Viticultural	Area	(AVA)	the	Umpqua	Valley	lies	between	two	of	theworld's	best-known	grape	growing	areas,	Northern	California	and	Willamette	Valley	ofNorthwestern	Oregon.	Despite	the	fact	this	area	has	many	similar	climatic	attributes	to	itsneighbors,	not	many	people	have	heard	of	the	Umpqua	Valley,	thus	limiting	exposure	of	its	wines.In	2001,	I	conducted	a	needs	assessment	of	the	Umpqua	Valley's	wine	grape	industry.	Resultsshowed	a	need	for	developing	a	marketing	program	as	the	highest	priority	if	our	wine	industrywanted	to	become	sustainable	and	advance	its	position	in	this	growing	industry.Cooperative	EffortA	cooperative	marketing	project	began	in	2002	with	six	members	of	the	Umpqua	ValleyWinegrowers	Association,	which	included	the	Extension	agent.	The	group	met	twice	a	month	for	1year	to	develop	a	business/marketing	plan.	Members	included	growers	with	a	history	in	the	area,new	growers	with	ideas	from	other	regions,	and	growers	with	good	business	and	or	marketingskills.	Our	group	knew	that	to	be	successful,	we	needed	the	commitment	from	nearly	everyone	inour	area	because	the	task	of	marketing	would	be	time	consuming	and	expensive.During	the	initial	months,	I	researched	other	agricultural	marketing	projects	to	help	me	visualizethe	process.	One	marketing	program	in	Sonoma	County	California	was	reviewed	in	the	Journal	ofExtension,	(Vossen,	1992).	Vossen	stated,	"Individual	producer	and	commodity	groups	had	neitherthe	funds	nor	the	expertise	to	develop	and	implement	a	comprehensive	marketing	program.	Wetherefore	recommended	forming	an	independent	umbrella	organization	to	oversee	a	countywidemarketing	effort."	Little	has	changed	in	the	past	14	years.	Most	producers	and	commodity	groupsprobably	do	not	have	the	expertise	or	funds	to	create	an	effective	marketing	program.	However,Stephen	B.	RenquistHorticulture	AgentOregon	State	University	ExtensionRoseburg,	Oregonsteve.renquist@oregonstate.eduwe	later	discovered	that	wine	grape	growers	have	a	product	that	along	with	creative	ideas	cansupport	a	successful	local	marketing	plan.Creative	MarketingOur	small	group	created	a	mission	statement	supporting	our	goals	of	promotion	and	cooperation,and	we	created	a	business/marketing	plan	listing	strengths	and	weaknesses	of	our	Umpqua	ValleyAVA.	The	plan	also	developed	24	strategies	to	be	carried	out	over	a	4-year	period	that	respondedto	these	weaknesses	and	built	on	our	strengths.	Getting	the	right	individual	assigned	to	eachstrategy	proved	to	be	an	important	step	for	the	process.	Marketing	specialists	at	Oregon	StateUniversity	were	asked	to	review	our	plan	and	make	suggestions.	Listed	below	are	many	of	our	keystrategies.Direct	traffic	off	the	local	interstate	to	designated	wineries	through	billboard	signs	delineatingour	AVA.Develop	sales	promotional	materials	that	standout	and	are	unique	(brochure	packets,	insertcards,	maps,	passports).Develop	a	Web	site	that	describes	our	history,	wines,	climate,	and	gets	promotional	materialsto	the	customer.Develop	a	database	from	9	vineyard	plots	for	prospective	growers	(phenology,	climate,	grapequality).Create	a	plan	to	attract	new	vineyard	and	winery	businesses.Hold	educational	wine	tasting	events	to	enhance	local	demand.Target	specific	metropolitan	areas	in	the	West	with	our	portfolio	mailings.Enhance	our	partnership	with	other	AVA's	in	Southern	Oregon	through	joint	marketing	efforts.Work	with	local	growers	to	elevate	wine	and	grape	quality	through	educational	programs	andtasting	panels.Invite	high-profile	wine	and	tourism	writers	to	tour	our	area	and	to	judge	wines	at	our	majorwine	tasting	events.Develop	barrel	tour	and	wine	tasting	events	to	pay	for	our	marketing	efforts.Hold	an	annual	marketing	workshop	for	our	entire	membership	to	refocus	group	priorities.Many	of	these	marketing	strategies	were	evaluated	at	wine	shows	and	seminars	by	industry	andExtension	peers	and	found	to	be	original.	Large	brochure	packets	were	designed	to	hold	a	card	foreach	winery	and	one	vineyard	card	showing	all	the	locations	in	our	AVA.	Interchangeable	cardskeep	our	materials	from	becoming	obsolete.	We	developed	a	passport	to	encourage	visitors	to	stopat	many	locations.	Each	time	customers	visit	a	different	winery,	they	get	their	passport	stamped.When	a	customer	has	five	stamps,	he	or	she	is	given	a	small	gift	and	entered	in	a	drawing	for	amixed	case	of	wine.The	majority	of	our	funds	were	raised	locally.	Our	area	developed	an	annual	gala	event	thatattracts	about	700	people	from	around	Oregon	to	taste	wine	and	food	pairings	from	28	wineriesand	14	restaurants.	Auctions	at	this	event	were	significant	contributors	to	our	budget.	We	havetwo	barrel	tasting	tours	in	the	spring	that	bus	about	550	people	through	a	north	or	south	countytour,	each	visiting	seven	wineries.	Net	revenues	from	these	events	go	to	our	marketing	fund.Establishing	nine	vineyard	plots	around	the	county	to	collect	phenology	and	grape	quality	data	toshare	with	prospective	growers	and	winery	owners	has	been	a	very	valuable	tool	for	attracting	newvineyards	and	wineries.	Continued	growth	of	our	area	is	vital	to	attracting	more	attention	fromwine	writers	and	tourists.ConclusionNew	wine	grape	growing	regions	across	the	country	will	find	a	faster	road	to	economicsustainability	if	producers	and	wineries	work	closely	together,	and	with	their	Extension	agent,	todevelop	a	good	business/marketing	plan	for	their	organization.	The	plan	should	promote	findingthe	best	wine	grape	varieties	for	their	region,	developing	a	quality	product,	using	creativemarketing	ideas	as	described	above	to	attract	attention	to	their	area,	and	using	wines	in	events	topay	for	the	marketing	plan.ReferencesVossen,	P.	(1992).	Starting	a	county	agricultural	marketing	program.	Journal	of	Extension	[On-line],30(3).	Available	at:	http://www.joe.org/joe/1992fall/a8.htmlCopyright	©	by	Extension	Journal,	Inc.	ISSN	1077-5315.	Articles	appearing	in	the	Journal	become	the	property	of	theJournal.	 Single	 copies	 of	 articles	may	 be	 reproduced	 in	 electronic	 or	 print	 form	 for	 use	 in	 educational	 or	 trainingactivities.	Inclusion	of	articles	in	other	publications,	electronic	sources,	or	systematic	large-scale	distribution	may	bedone	only	with	prior	electronic	or	written	permission	of	the	Journal	Editorial	Office,	joe-ed@joe.org.If	you	have	difficulties	viewing	or	printing	this	page,	please	contact	JOE	Technical	Support©	Copyright	by	Extension	Journal,	Inc.	ISSN	1077-5315.	Copyright	Policy

Creative Marketing for a Small Wine Grape Region

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Creative Marketing for a Small Wine Grape Region

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