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p r a c t i c a l w i n e r y & v i n e ya r d d e c e M B e r 2 0 1 4 63 W I N E M A R K E T I N G away from this wine the re- sults were quite devastating. Now Australian winemakers are working diligently to con- vince consumers to embrace other wines and other regions. The Aussies certainly have the right raw materials to work with, but redefining a brand is almost as hard as unringing a bell. Thankfully it can be done (and I think they will do it in time). The lesson for Southern Ore- gon? They grow so many great grape varieties that it would be a mistake to choose one to represent the region. It is more important to work to increase quality across the board, and the growers and winemakers seem committed to this quest. Learning the right lessons What are the right lessons to learn from these cases? Well, in real estate we say that the three most important things are lo- cation, location, location—and this is surely also true in wine where terroir is such a key factor. But let me argue that distribution is at least as im- portant from a wine business sense, and effective distribu- tion arrangements were key in the rise of each of these wine- producing countries. Brand Australia was built upon solid global distribu- tion channels such as the W.J. Deutsch and Yellowtail part- nership that, at one time, sold more Yellowtail wine in the U.S. market than all French producers together! It is prob- ably not an accident that two of the three top Argentinean brands in the U.S. market are distributed through the Gallo system. The high degree of international ownership and control of the New Zealand wine industry guarantees effi- cient global sales. Distribution drives success on the global stage. I have often observed that every industry ultimately or- ganizes itself around its most important bottleneck, and in wine that bottleneck is distri- bution. I have advised wine- makers to look closely at their most successful distribution channels and to organize their operations around that. For many Southern Oregon pro- ducers, direct wine club and tasting room sales are key, so increased attention to manag- ing these sales vectors may be more important than trying to get out-of-state distribution, for example. Location and distribution are key, and so is quality. Loca- tion and distribution are dead- end streets without the ability to supply high quality within the context of the relevant cat- egory. Regional wine identity needs to be based on a strong sense of place, a high level of quality and an understanding of distributional challenges and opportunities. Global stage again A highlight of my visit to southern Oregon was at- tending a grand tasting at the World of Wine festival in historic Jacksonville, Ore. The idea is to show off the region's diversity of soil and climate, grape variety and wine style. You do not have to stray too far to find wines like those from many parts of the world. World of Wine is maybe not the sharpest or most memorable slogan that I have ever heard, but at least it reflects reality. Regional wine slogans are not very important anyway, com- pared with the other factors I have mentioned. Can you think of a wine slogan that has the impact of "Got Milk?" Neither can I. Southern Oregon does in- deed offer a world of wine and has the benefit a strong poten- tial consumer base because of the area's proximity to cultural and recreational opportunities. By drawing the right conclu- sions about quality and distri- bution—and avoiding the wrong ones—Southern Ore- gon's wine industry can en- hance its reputation and enjoy an even brighter future. PWV Let your wines speak directly to their target markets through premier packaging. Select from our premium bottles or custom design the ideal bottle, pewter label or other packaging solution to promote and sell your fagship wines. East Coast usa@estal.info 305 443-7451 West Coast info@globalpackage.net 707 224-5670 A Package Speaks a Thousand Words GP144368