The Next Great Generation
Posted by Sheri Hebbeln on May 19th, 2008On Friday the wine industry lost an American icon. Robert Mondavi is largely credited with putting California wines on the world’s radar screen as he worked tirelessly to educate a generation of Baby Boomers about the benefits of wine as part of a healthy lifestyle. He believed in the marriage of food and wine and traveled extensively to feed his quest for knowledge on the subject. “Wine to me is passion. It’s family and friends. It’s warmth of heart and generosity of spirit” he wrote in “Harvests of Joy:  How the Good Life Became Great Business.”
And that message found its way not only to the Baby Boomer and Gen X generations, but I think it continues to resonate with Millennials – today’s 21 to 30 year olds. According to Nielsen Research, Millennials, also known as “The Next Great Generation,” are approaching Baby Boomers in sheer numbers (70 million compared to the 77 million Baby Boomers) and they outnumber Gen X’ers by nearly 25 million. What I found interesting about the Nielsen Research study, which was published in November of 2007, is that this group perceives wine to be “relaxing” and “sophisticated”, opting for wine over other alcoholic beverages for more formal nights out.
Perhaps even more interesting is the fact that, probably largely due to the influence Robert Mondavi had on previous generations, this is the first generation in US history to have grown up with wine at the family dinner table. And the resulting shift in preferences is evident in the numbers: ten years ago beer accounted for 59% of this age group’s purchases in the alcoholic beverage category. Today that number is twelve percentage points lower, while wine and spirits have increased in relative proportion.
As they are just now shaping their tastes, Millennials represent an enormous opportunity for wineries.Â
The tasting room:
Remember that this group is just beginning to form opinions and that those opinions will be largely based on experience, experiences they are very likely to share with like-minded peers.  The tasting room is a perfect opportunity to begin building long-term relationships with the next generation by creating memorable visits through friendly conversation and enthusiastic sharing of knowledge. And don’t forget to capture email addresses – Millennials are a “connected” group, far more so than any generation before them.
Online:
This is the generation of social media, and while it may be difficult to justify venturing into social networking simply because it doesn’t lend itself easily to results that are “measurable”, social media can be a great opportunity for branding and for engaging a whole new generation of wine consumers. It may be a longer term endeavor, but it will ultimately translate into sales, and more importantly, into longer term relationships.Â
As a whole, the 21 to 30 age group is unpretentious and hungry for knowledge, knowledge that they’re much more likely to seek out via Internet search and social networks than through wine books or ratings. This is our opportunity to pay it forward and continue the education that Robert Mondavi started.


May 19th, 2008 at 1:34 pm
Stormhoek, and the work Hugh MacLeod did in promoting them should be a case study for all wineries interested in the power of tapping social media (blogs, web 2.0 sites and the key end point: user engagement)
May 19th, 2008 at 3:59 pm
Philip,
Absolutely. They took the view that the enjoyment of wine is a social activity and marketed it with that in mind. And the results have been astonishing.
May 20th, 2008 at 1:41 am
Getting wineries involved is one of the most exciting aspects, though as you point out it is difficult to measure success with participation in social networks. I think wineries need to look at most social networks as a branding (marketing) opportunity.
Now, if you want to talk sales, then I think the key is to align a winery’s self interest with participation. Wineries may be hesitant to participate on a site that sells their wine from 9 retailers in addition to their site. Just simply looking at the math, they only have a 10% chance of realizing a sale from that site.
June 4th, 2008 at 1:29 am
I’m all fore Sheri’s and Kevin’s perception. Wine is a social activity and social networks have lots to contribute. The new trend of hundreds of small wineries on MySpace supports can support this argument.
Success on social networks can be measurable. You can measure your fans (friends) community growth rate, your social network profile traffic, the exact demographics of your fans. Moreover, there are new technologies to find top influencers among the millions of wine lovers on social networks. Once you connect to an influencer he might spread the word about your wine to tens of his friends who are also wine lovers and so forth.