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Driving “Down Valley” in a Down Market

Earlier this month I was visiting the Napa Valley.  I had some appointments in Yountville and St. Helena and then went “Up Valley” to Calistoga.  As I was driving back down the valley to get to a wine industry mixer WSJ’s The Journal podcast alerted me that “California’s Wine Industry is in Crisis”.  The story hit my airwaves just as I passed unpicked premier vineyard blocks.

For us in the wine business, we know wine consumption is down.  From the aging of the loyal Baby Boomer wine drinker to the sober curious Millennial, our industry is hurting.  This is compounded by the drying out after pandemic hoarding, the rise of GLP weight loss drugs and now the assault of inflation and tariffs on the cost of wine.  Sales are down across the industry.

Whenever I’m out and about I am curious.  I look at which restaurants and cafes are busy.  I check on the foot traffic in downtown Napa and over at Oxbow Market.  I may stop in at a friendly winery tasting room and see what the action is like.  On this trip a favorite restaurant along Highway 29 was completely deserted, Taylor’s Refresher was doing a robust business and downtown St. Helena was festive for the holidays but there were not a lot of shoppers along the main drag.

Earlier in the day as I was out and about I drove past entire vineyards with grapes still hanging on the vine.  These were well tended, and previously coveted fruit sources.  Along with that, I saw entire vineyards ripped up, the plants heaped into huge piles, ready to be burned.  This was Napa Valley—things must be bad if prime vineyards were being pulled up.

It isn’t surprising.  Back in January Allied Grape Growers recommended growers to rip out 50,000 acres to get supply closer to demand.  But still, it’s heartbreaking to witness.  This was one of the best growing seasons, and grapevines that were well cared for had fruit just going to rot.  Picking and making those grapes into wine was too costly because we don’t know if anyone will buy the wine.

As I drove to my business mixer, I heard the woes of industry insiders on the podcast.  It’s a tough time to be a grapegrower.  It’s an equally awful time to be a vintner.  Arriving at the mixer, I saw friends new and old.  I talked to a packaging sales rep who was recently promoted.  She’s bringing in lots of new accounts, but ownership is convinced their business is going to get worse, in large part because of the World Health Organization’s declaration that any wine consumption is bad.  I spoke to a photographer whose entire business model has changed.  While his photo shoots used to be weddings held at top hotels and resorts, that business has completely dried up.  Now those venues cater to the ultra-wealthy; clientele that don’t want a wedding on the grounds during their “getaway”.  The photographer has picked up some business with newly flush young tech bros who want to show off their exclusive private jet-setting lifestyle on Instagram and Tiktok.  Times they are a changin’.

Earlier in the day I was cutting through backroads.  I saw sandwich boards out front of established wineries that said, “Appointments Available”. I also saw “Walk-ins Welcome”.  This was promising.  Taking the formality out of tastings might be just what our hospitality industry needs.

While I was dropping something off for a client, the host in the tasting room asked if I’d like a splash of something.  Well, yes, I would!   Unfortunately, my day was busy and I had to run.  It got me thinking about how to bring more casual visitors into winery tasting rooms.

Invite ME In:  Instead of a sandwich board telling me I could make an appointment, or that it was once again okay to just walk in, a sign inviting me in to share a splash of a special wine is intriguing.   A sign with a welcoming and current message could catch this visitor’s eye and bring me in for a casual tasting.

Value my Time and Patronage:  Nowadays most tastings are about 90 minutes and cost about $75 a person.   That’s a big time and cash commitment.  Here’s an idea:  Let’s pare that down to a quick half hour and FREE if I buy a bottle or two.  I don’t expect a lengthy wine tasting with a charcuterie board or small bites—just a quick splash of wine paired with casual conversation with my smart wine steward.

Mix Up the Message:   Dry January is quickly approaching.  If your message is solely about drinking alcohol, you may have a tough month.  Let me know about the cool owl box cam footage I can view.  Do you have hiking trails around the property—that plays right into my plan to be more physically active in the great outdoors.  Let me know I could stop by for a hike and a splash of wine.  I’ll be there.

Invite Everyone In:  Yes, people with kids enjoy wine.  People with babies enjoy wine.  People with dogs like wine.  People out with their grandparents enjoy wine.  People who ride bikes like wine.  Play to your winery’s strengths and personality to bring the whole crew in.  Have a coloring contest for the younger set.  Set up a petting zoo for families.  Show off that beautiful garden and have families pot some seeds to put in a sunny window.  Little things mean a lot when people can share time at your beautiful venue with friends and family.

Show Me Your Personality:  Is your winery known for its jumping frogs?  Tell families about the little tadpoles hatching in the pond out front and invite them to come see these little amphibians for themselves.   Did your wines totally kill it at the Paris Tasting in 1976?  Tell me, invite me in to see how the wines of 2026 are going to be made, and get me to commit to taste those 2026 wines when they are released.

Try New Things, Keep Doing What Works, Abandon Those That Fail:  Turns out kids brought wine drinkers along with them to see the tadpoles but they didn’t come to see the frog petting zoo?  Keep the cute tadpole idea, ditch the frog petting zoo.  No one committed to buying the 50th year anniversary wines of the Paris Tasting—nothing ventured, nothing gained.  Kill that idea but try something else.  Maybe try a promotion of a free tasting for the person who nails an outfit from 1976, or 1776!  OR, lightbulb, give out USA flags to celebrate the Semiquincentennial—and play with that word in marketing and promotions.

Let’s bring the fun back to wine tasting.  Invite me in, encourage me to interact with your wines and the property.  Play to your strengths and mix it up.  Things are going to get better.  Let’s enjoy the ride.  Oh, and if anyone does do the tadpole idea, please invite me.  I love those little creatures.

 

 

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