The Power of Goals - A 3 Part Process for Plan Preparation

Setting goals is normal part of everyday living in modern society. Whether it's getting to the gym three times per week, creating and tracking a budget, or spending time with the family on Sundays, setting specific goals helps identify what is important and to live a life of purpose.

In the business world, setting and measuring goals is a very important practice for success. John Wooden, one of the most successful college basketball coaches of all time and author of one of my favorite business books, Wooden on Leadership, believed that winning (or losing) was a matter of preparation. For Wooden, the process of becoming the best team possible -- setting goals and tracking success -- was the most important predictor of success:

"Success is peace of mind, which is a direct result of self-satisfaction in knowing you made the effort to do the best of which you are capable."

In the wine industry, particularly in smaller and younger businesses, goal-setting is often primarily focused on the production side. We spend a lot of time setting goals for vineyard yields, fruit processing, aging, style, production level, recognition, etc.

Production goals are undoubtedly important given the need to deliver delicious wine, but, if there is no plan specifying goals for people and processes, managing the business side becomes increasingly difficult. The symptoms of lack of preparation include rising inventories, decreased demand, unclear and/or inefficient processes, frustration and waning focus among people and, ultimately, decreased sales, profitability, and team cohesion.

Many want to believe that making excellent wine is "enough", but with competition from imports and new domestic entrants, consolidation in wholesale and account tiers, and the variability of economic cycles, it just isn't. I don't necessarily believe in the "new normal" of consumer spending (people tend to revert back to old habits once economic pressures decline), but I do believe in the "new normal" of the competitive landscape in the wine industry.

The great news is that preparation is a proactive process, not something out of our control like enormous flocks of birds preying on vineyards or rain during harvest. It's something we all have in our power to do provided we commit the necessary time and brainpower.

Preparation is also a positive learning process. It helps you understand why certain tactics worked and others didn't, and gain knowledge of team strengths and challenges. Viewing this process in a positive light means freeing yourself as a business manager to make mistakes and then seeking the understanding that comes from correcting them. Wooden again speaks to this value:

If you're not making mistakes, then you're not doing anything. I'm positive that a doer makes mistakes.

In my practice, goal-setting for established wineries is a three-part process. First, I seek to understand the winery's strengths and challenges with interviews and surveys: confidential individual interviews and then surveys of key stakeholders including staff, trade and consumers. Then, I provide data analysis and recommendations to my clients and their teams, which serve as a point for further discussion about goals and processes. Finally, based on the knowledge gained from these conversations, I work with owners and managers to develop a strategic marketing plan identifying organizational and sales goals, mapping out specifically who is doing what, and when and how performance will be measured. We work to establish an engaging and motivating review process and coach the "players" to success based on preparation.

The research phase of this process respects and includes the winery's past while mapping out a proactive future. A consultant can't enter a company and effectively make recommendations based on prior experience alone. My experience working with close to 60 wineries ranging from domestic "one-man" operations to global producers gives me a series of best practices, but it doesn't give me the proprietary knowledge that is just as important in delivering excellent preparation.

For new wineries, there is still a research phase based on identified competitors, and focus groups can be used to augment it. Preparation for a new winery means that there isn't a lot of data to consider for the plan, but there is also a "fresh slate".

Operating with a common set of goals has several power effects. Teams become more focused and united, prioritization is easier and more effective coaching is possible. The feeling of setting and achieving (or surpassing) a goal also helps build momentum needed for the next year, when we need to plan all over again!

In my next post, I'll discuss meaningful business goals for the wine industry.




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Swiftwater Cellars Grand Opening Friday

It gives me great pleasure to announce the grand opening of Swiftwater Cellars this Friday! This is truly Washington's ultimate destination winery -- delicious wines by Tony Rynders and Linda Trotta; fine cuisine and hospitality by Chef Matt Bates, F&B Norm Dillard and Club and Event Manager, Jami Parks; and a solid accounting and business foundation by Controller, Bjorn Gjerde. It's a beautiful location about an hour from Seattle in the Cascades. And there is something for everyone given the Suncadia resort -- golf, trails, spa, fishing and much more. All created within the vision of founders, Don and Lori Watts and their son and GM, Donnie and his wife, Meghan.

I have had the pleasure of working with the ever-growing team for the last 17 months and to get to this point is both professionally and personally thrilling. They broke ground in only August of last year so the fact that such a beautiful facility was finished in such a short period of time is nothing short of amazing.

Here's a detailed look at the work we've done together over the last year and a half:

*created and revised a messaging platform
*written and revised a business plan
* developed labels, packaging and a wide range of marketing materials with Joe Farmer of WhizBang Studio
* sourced software for the winery and restaurant
* written job postings
* sent 6 press releases and 7 newsletters

* pitched 300 writers and counting

* promoted 35 resulting articles, a video and radio interview so far... still counting!
* created a website and planned a new one with Brett Lytle of Lytle Works
* sourced bottle photography from Image works
* developed 3 social media platforms
* created two rock star wine clubs which already have over 150 members
* grown our contacts from 100 to over 1000
* hosted ground breaking and participated in Taste WA and Wine in the Pines

* worked with the Suncadia marketing, PR and event teams
* written and revised a speech
* sourced dummy bottles, branded items, glassware and "This is how we roll" shirts

* had 8 meetings and spent likely 5 full 24 days on the phone

* sent thousands of emails and logged 5000+ driving miles

* enjoyed many delicious meals at Portals in Suncadia, Seattle and the Watts family homes in Cle Elum and Kennewick (can't wait to finally have one at the Hoist House!)

* seen a Tri-City Americans ice hockey game and attended a baby shower

* visited several Prosser area wineries

* shared dinner two IPNC Salmon Bakes

* met many family members, friends and business associates
* congratulated Don on his Puget Sound Hall of Fame award

* and last but certainly not least... welcomed two new babies

Whew! This is just what I've worked on... multiply that by a factor of 100 for the full team's efforts.

In February of 2009, I'd never heard of Cle Elum, Suncadia, or the Watts family. Thanks to an introduction by Tony Rynders, whom I'd met at a conference in June 2008, I became part of an incredible team and business vision. For all this I am truly thankful.

OR State Fair Wine Competition

I was happy to return as a judge for the Oregon State Fair's wine competition. As usual, Elaine Lisle and Desa Swaim did an incredible job with the volunteers, organization and excellent treatment of their judges. The pre-judging dinner at Bentley's in Salem is always a treat because it features gold medal winners from the prior year. Sommelier Brian Kemmerle, a fellow judge, and chef Derek Ridgway do an excellent job pairing wine with the cuisine.

Some highlights included tasting the Italian varieties from Cana's Feast by winemaker, Patrick Taylor. And of course Stoller Vineyards' 2006 SV Estate Pinot Noir being awarded "Best Red of Show". (No, I had no idea which of the many Pinot Noirs was my client's because this was a blind tasting :)

It's always interesting to compare your judging notes with the overall medal list. As I wrote after the WA wine competition, there isn't a lot of time to savor these wines, so my notes are my 30 second to one minute impressions. Here I present my personal "Golds":

Phelps Creek 2009 Gewurtztraminer
Mineral, fresh rain, oregano and white peach aromas. Pretty tangerine and lime notes in mouth. Delicious with great acid!

Phelps Creek 2008 Chardonnay
Deep golden delicious and red apple. Nice oak integration with spice and good length. Best white of show/Best wine of show.

Shadow Mountain Vineyards 2009 Pinot Gris
Very inviting notes with pretty lemon-lime and fresh rain aromas. Bright acidity with a crisp mouthfeel with a touch of almond on the finish. More of a Grigio style -- fun and sexy.

Firesteed 2008 Rose of Pinot Noir
Ripe strawberry, sour cherry, floral and herbal aromas. Strawberry really comes through in mouth with nice acid structure -- refreshing.

August Cellars 2006 Pinot Noir
Deep, inviting red cherry, raspberry and baking spices -- multiple layers. Some good stewed fruit notes with a touch of fresh tomato, cherry and a nice minty/herbal character. Long finish.

Stoller Vineyards 2006 SV Pinot Noir
Very inviting, sweet black cherry jam, tea leaves, curing tobacco, earth with a hint of dusty character. Ripe, rich and round with a long finish.

Stoller Vineyards 2007 JV Pinot Noir
Deep, beautiful ripe, brambly raspberry, cherry and espresso aromas. Espresso turns to toffee and mocha in mouth which has rich feel. Love this nose! Nice balance and smooth finish.

Evergreen Vineyards 2008 Pinot Noir
Brambly with raspberry, cherry and fresh leather aromas. Deeper black cherry with earthy/forest floor and baking spice in mouth. NICE.

Cana's Feast 2007 Sangiovese
Deep red berry, leather, sweet curing tobacco with white pepper. Nice, dusty mouthfeel with raspberry and great acid. A terrific food wine with a long finish. What more could you want in a domestic Sangiovese?!! Best one I've ever tried.

Cana's Feast 2007 Nebbiolo
Blueberry, cherry, raspberry jam; smoke and moss. Good acid/tannin balance. Nice present finish -- still juicy so more time left to age in bottle.

Ribera Vineyards 2007 Merlot
Very concentrated aromas of stewed plum, fresh leather, clay. Delicious soft and round mouth with big fruit flavors retaining complexity of nose. Silky, velvety and round.

Cana's Feast 2007 Counoise
Peppery fabulousness. Red cherry, blackberry. Ripe with good acid.

Devitt Winery 2005 Cabernet Sauvignon
Plum, bark, blackberry, clove, olive, mint and a little je ne sais stank. What a nose! Ripe fruit with good balance. Love the mouthfeel. What a delicious glass of wine!

Stone Wolfe Vineyards 2005 Cabernet Sauvignon
Blackberry, black cherry, fresh leather, tobacco, eucalyptus. Very focused, fine ripe sweet fruit with peppery note and silky mouthfeel. Good tannic structure and balance. Long finish.

Latest Newsletter

Check out the latest edition of Strategic Guidance from the Ground Up, the Trellis Wine Consulting bi-monthly newsletter. In this issue I discuss how to create a marketing-driven business plan, an online meeting scheduler and present latest client and company news.

Diary of an Andrea Johnson Photo Shoot

A few weeks ago, I had the pleasure of working with Andrea Johnson of Andrea Johnson Photography on a lifestyle photo shoot for Stoller Vineyards. The winery is a fantastic place to spend an afternoon picnicking or a weekend escaping from daily life. With 3 guest homes on the property and ample space for relaxation, it's a great Willamette Valley destination. Further, the hospitality provided by the great staff is nearly unparalleled -- many in the industry forget we're in the hospitality industry first and the wine industry second!

Our goal was to show people enjoying themselves around the various areas of the property to highlight these features visually. We will use this imagery in various marketing arenas - ads, website, tasting room video and b-roll, and distribution presentations. (We have also begun a video process to create a multi-media piece but more on that later.)

To pull this off required the following:

* 2 meetings to brainstorm and edit
* 2 full days of working with her excellent models (she prefers actors as they are more relaxed and I can see why!)

* 12 wardrobe changes
* 4 trips to Farm to Fork to get picnic items

* about a case of wine used for pours and re-pours
* patience and cooperation from the winery team and good attitude about being asked to model
* ability to load Adirondack chairs on top of a golf cart and drive it without spilling wine or food

* ability to run through field in flip flops
* Spanish language knowledge

Very difficult to pick a favorite photo from the shoot but this well captures the spirit of Stoller:

Here's the behind-the-scenes look at what it took to get it (taken by my low res Blackberry camera) -- good thing she's fit and has a good attitude:

My role was a hybrid between creative director/water fetcher/housekeeping/damage control. As for the last part, we had just headed over to one of the guest homes to shoot a "perfect" picnic when a combine truck arrived. I immediately ran through brush to avoid the dust bowl beginning and politely ask the driver to back out of the shot for 10 minutes. He somewhat understood me, but thankfully, Eric speaks Spanish and was able to explain why we were interrupting his work day.

The "perfect" shot:

The drive to stop the dust:

We ended up with about 90 excellent shots. Now time to get these into the marketing materials!

Big Day for Marketing in Oregon

This morning I spoke to a crowd of about 40 participants at a wine marketing workshop hosted by Oregon Wine Board. The focus was on outlining the key elements of a business plan, drilling into the specifics of the marketing plan, and discussing best practices for getting started, implementation and creating a culture that seeks continuous improvement. I was impressed by the good comments from the crowd and thoughtful questions. If you would like a copy of the presentation, please email me.

Katherine Cole, wine writer for the Portland Oregonian, also posted a piece on marketing wine to women which quoted me. When asked about my thoughts on the subject, my mind immediately went back to a period in my marketing life where I was put in the unenviable position of promoting low-carb wine. (Not a good feeling considering that I knew it would be ridiculed by the press -- the worst is that one of these articles lives on to this day.) While this wasn't specifically aimed at only women, it is yet another example of trying to take advantage of a fad versus truly creating something meaningful for one's target audience.

It's important to keep in mind that my comments were directed toward the Oregon wine industry specifically. I do not have sales data on Bitch wines, so there is a possibility that the brand may be going gangbusters in its selected target market. In the end we're all in business so if Bitch is a creation women are buying and loving, more power to them. For Oregon, however, where the costs tend to be higher and the output lower, I do not see this as an effective way to reach women.

"If you don't ask, you don't receive"

This year I've completed a number of market research surveys for Stoller Vineyards. When the project began I surveyed the wine club and brand managers to get feedback on topics ranging from wine quality, pricing and value to brand communication and sales materials. We also studied visitor experience and perceptions. I then used this feedback to develop a SWOT analysis and the 2010 marketing strategy, which means it is considered for brand messaging in ads, media relations and social media, as well as how we develop consumer and trade programs. In other words, it is used on a daily basis.

Today I finished analyzing another survey of Stoller club members regarding events and soon I will begin a series of surveys for a new client, Chehalem. Market research is a pursuit I enjoy, but more importantly, it is very valuable to wine businesses. Don Morgan of GMA Research, a fellow speaker at the June Southern Oregon wine marketing conference, puts it best: "Positioning is what brands aspire to... market perception is reality." He also noted that the most critical market research question is whether or not your customers or clients would recommend you.

As a marketing strategist, my role is to survey market perception, build or re-build positioning (and reality) based on this feedback. Too many consultants have a tendency to come in and change everything without a true basis for their recommendations. While not every decision should be made with a survey set -- best practices do exis, this approach can be financially wasteful and ignores what the current organizational strengths. A good marketer should seek to understand before she seeks to improve.

PS - I do also practice what I preach. In a recent survey of all of my past and current clients, here's what I learned:

* 100% would recommend Trellis Wine Consulting either "very highly" (57%) or "highly"

* 86% rated my service's quality, integrity and professionalism "excellent" -- for value I received "excellent" on 57% of responses

* the two most important factors in selecting my company were its wine focus and the ability to work directly with me (versus an account executive) -- no one rated location in Portland or my references as important

I also learned more about my strengths and challenges on the open-ended questions. This feedback is very helpful to me as I continue to grow my business and plan for the future. One of the challenges of being an independent service provider is that unless I ask for feedback, I don't get it!