Commerce7 Team 3 min
Apr 3, 2024We’re excited to announce the newest edition of our annual Data Book, “The Data That’s Changing Winery DTC”, now available for download!
2023 was an economically challenging year for many consumers, which was reflected by a 1.66% decrease in total sales across all DTC channels compared to 2022. Despite this dip, there were notable positive trends seen within all sales channels, highlighting opportunities for growth and optimization.
In this blog post, we'll explore some of the key takeaways from this year's Data Book, focusing on three fundamental sales channels: clubs, ecommerce, and the tasting room. From member flexibility, to optimized checkout experiences and the importance of building relationships, these insights offer valuable strategies for wineries looking to streamline their DTC operations and drive growth.
Member Flexibility
Growing your wine club’s memberships and revenue is all about giving members more flexibility. When members have control over their club choices, they not only add more products, boosting the average order value, but it also opens the door to attracting new members.
By making your wine club more flexible and convenient, you appeal to a broader audience that extends beyond those who can physically visit your tasting room and enjoy in-person perks. Offering benefits like customizable packages, online cancellations, the option to skip a shipment, and choosing shipment frequency, helps tap into a new online audience. This approach positions your club as an accessible choice in today’s market, which in turn will contribute to sustained club growth.
Optimized Checkout
Creating a seamless and efficient checkout process is vital for driving ecommerce sales, as it plays a pivotal role in influencing user decisions. The impact of a streamlined club signup and checkout experience online is substantial, directly contributing to increased conversion rates. Version 2 of the Commerce7 frontend (versus version 1) serves as an excellent example, showcasing a significant positive influence on conversion rates during both checkout and club sign-ups, underscoring the necessity of an optimized user experience.
To further enhance this user-centric approach, it’s essential to recognize that a significant portion of online shoppers seek fast and easy experiences. Leveraging 1-click checkout opportunities is important, as a significant portion of customers who complete an order prefer this streamlined option. Implementing mobile payment options, such as Apple Pay and Google Pay, makes it easy for customers to check out quickly, and drives increased e-commerce revenue.
Building Relationships to Drive Club Growth
Building strong relationships with customers is crucial for driving wine club membership growth. As noted previously, it takes around 4.78 orders before a customer decides to join a wine club (up from 2022), which underscores the growing significance of capturing emails in the tasting room to maintain post-visit connections with your customers.
To effectively convert casual buyers into long-term members, wineries need to focus on strategic and personalized communication. This goes beyond the initial visit, creating a continuous dialogue that fosters a sense of connection and loyalty. By understanding customers’ preferences, addressing their needs, and tailoring communications to their interests, wineries can establish a solid foundation for long-term relationships.
The 2023 Data Book sheds light on both the challenges and opportunities within winery DTC. Despite a slight decrease in total sales across all channels compared to the previous year, there are clear avenues for growth and optimization within wine clubs, ecommerce, and tasting room sales.
The key takeaways from the Data Book emphasize the importance of member flexibility in wine clubs, optimized checkout experiences in ecommerce, and building relationships in the tasting rooms, and by embracing these strategies, wineries can position themselves for success moving forward.
Download your copy of the Data Book here.
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