Growing up in the Sacramento Valley I had plenty of opportunity to experience  fog so thick you couldn’t see the house across the street.  In the Napa Valley, we only experience ribbons of  fog that lace a vineyard together or tuck into a hillside.  I captured the picture above on my way to work this week.  It struck me how quickly the fog formed and meandered amongst the vines and trees.  Unlike the tule fog that sticks low to the ground and makes it impossible to see, these floating banks of moisture provided another scenic moment, like those that appear before me each and every day in the Napa Valley.

As I look at the picture closely, beyond the mustard and vines and before mountains, there are  two very distinct images.  The timeless beauty and strength of the oak and the zealous eucalyptus pushing itself above the fog layer.  That sounds familiar.  The optimistic Aussie (i.e. native eucalyptus) always looking for a new way to push through the challenges of the day, to find the bright light beyond the fog.  Here in wine country this has been especially true over the years as I have watched the flood of Australian wines land on the store shelves and wine lists.  Sure they’re a clever bunch when it comes to marketing their wines.  But what happened when the economy slowed? Those cute labels didn’t  fool the US wine  consumer.  Instead our pocketbooks closed and only opened for the long-time, well known, and strong  brands. 

Just like the sturdy oak, our local brands that have proven themselves over decades have not faltered.  Why? Because the consumer knows they can count on these wineries to deliver consistently high quality wines every year.  Now the packaging may not have a cute animal but wine buyers have  learned that you can’t judge a book by its cover. 

What we can learn from our Aussie friends is that their creativity allowed them to gain market share rather quickly in the U.S. 

So what does this have to do with U.S. wineries struggling through this recession?  Well, it might just be time to set aside your ego.  Some serious out-of-the-box thinking needs to take place so that you can capture the opportunities that are just beyond the horizon.  You are not only competing with domestic brands but those from the likes of Chile and Spain that have their sights on the U.S. consumer.  These imports could take serious market share when our  economy improves.

It is never too late to plan.  Get your team together and unleash those creative juices before someone else beats you to the marketplace.

Until next time…when the fog clears will you be headed in the right direction?

Unlike most commuters, I enjoy my drive to the office each day.  It’s no surprise since rather than being stuck in traffic watching motorcyclists zip by my mirror, I get to drive by vineyards, between hills, and some days under hot air balloons.  One of the benefits of life in the Napa Valley is the ever-changing scenery. 

Earlier this week, I was traveling the back roads to work when I saw the clouds tucking into the hills.  I tried stopping in the middle of the road to get a picture but wouldn’t you know, just then someone decided to join me on my usually private drive.  But I was determined to get this shot.  Just around the next bend I found a  road leading into a vineyard.  I pulled off and made my way down the side of a ditch to find an opening between the trees.  It was sprinkling, so I moved quickly, since digital cameras seem to have a thing against water. After a few shots, I was satisfied with the image so I jumped back into my SUV and was off.

So this was my story of  how I captured the picture above,  but here’s the thing. The result of my effort was satisfaction. I was only satisfied with this image. And satisfied is just not good enough when it comes to my photos. 

So often I hear businesses sharing their latest survey results which show that their customers are satisfied. 

Big deal!  Being satisfied is just a polite way of saying “I haven’t found anything better yet”.  The bar for customer service is so low that we have accepted the rude clerk talking with a co-worker about her plans, – it’s just the way it is.  Well I say enough!  It’s time business owners pay attention and focus on real customer service. 

 Many are struggling to succeed in this recession – it’s a perfect opportunity for each retailer and service provider to go out of their way to show their appreciation.  This means training their employees in the art of putting the customer first.  I don’t mean that corporate requirement that they greet everyone in the store.  I mean something more. Caring about people.  This means some employees may have to switch seats on the bus or get off.  Not everyone’s behavioral style is conducive to dealing with people all day long.  Believe me, I have met plenty of  front line people who would be happier stocking shelves than interacting with customers. That’s okay, but let’s recognize where they belong and make the changes necessary to improve service for all.

Customer service is so bad in most places that even modest improvements will be noticed.  But just think, if you could change the culture in your business so that your customers go from being  just “satisfied” to being raving fans, how much loyalty you would create.  Not to  mention the new customers you would gain.  This is the time to invest in your employees. 

Until next time…satisfied customers will come and go but raving fans are yours forever.

My journey resumes in the Napa Valley, more specifically at the top of Spring Mountain above St. Helena.  Yes, that is snow along with some “lovely” graffiti.  Love and romance go perfectly in the Napa Valley.  In this case, the love is being spread throughout the vineyards.  This actually makes sense to me because the real love for wine begins in the vineyards.  So let’s explore further this love affair beneath the vines.

Not often thought of as romantic –  it’s the dirt that makes the difference.  We don’t  think of  the soil as the starting point for the tasty stuff  that ends up in our glass, but it is what makes Napa wines great. Without it, the wines would be pretty much the same no matter where the grapes were grown.  Ah, so let the courtship begin.

When you enter the Napa Valley there is a sign near Oakville that reads “welcome to the famous Napa Valley wine growing region”.  The phrase ”wine growing” always struck me as odd.  I have driven through the valley every day for 15 years and I have never seen wine growing.  I watched grapevines develop throughout the year until harvest but never once did I see a bottle of wine out there. 

However, talk to any winemaker and they will say that great wines start in the vineyard and great grapes come from great soils.  So where’s the love in dirt?  Or should I say who is loving that dirt?  The vintner is  – with the help of  his or her vineyard manager.  Yes, there is a real romance happening in the vineyards especially by those who utilize organic practices.  It is their love for the natural harmony of the soils that allows the grapevines to mature and produce awesome wines.  This doesn’t happen by accident, it requires a long-term plan with attention to detail.  Each vineyard block must be analyzed and understood for its strengths and weaknesses.  The vineyard manager can then determine the best course of action over the coming years to bring out the best qualities in the grapes.  Part science and part art but most of all a passion and love for recognizing the potential each vine has in the soil where it is planted.

Does your passion reach beyond the topsoil in your life?  Too often we take the short cut by  looking for immediate gratification – not realizing that if we focused on the longer term our actions would lead us to our destination. 

As you say goodbye to 2009, may you find clarity and dare to dream what 5 and 10 years from now could look like.  While you’re at it, write down your dreams and then begin to lay out your plan for organically growing yourself.

Until next time…may your passion for life be expressed like the love that is cultivated in the Napa Valley each year.

Amish Country

I recently traveled to the East Coast to visit relatives and participate in my consulting accountants round table. Along the way I visited Amish country in Pennsylvania where I discovered a different way of life. Granted it isn’t one I would choose but it did provide a glimpse into how farm life used to be. You truly can appreciate how mechanization has improved many parts of a farming operation.

In wine country we still are reliant on a large labor force to perform many manual tasks.  The resistance to move from hand to mechanized processes is going to catch up with the industry.  As labor costs continue to rise and the downward pressures on pricing occur wine profits will be squeezed.  In order to compete in a global market we are going to have to invest in machinery that will automate many of the labor intensive tasks.  I have heard that the latest harvesters and implements have proven to provide significant cost savings for many growers on the central coast.  It would be wise for our local growers to begin to explore ways that this equipment could be put to use so that they can remain competitive.

Until next time…let the simpler times motivate you to embrace the possibilites for the future.

Photo by John Gretz

From what I hear you may be feeling a bit like the Goldens in the photo.  You’re panting from trying to keep up with all that is happening around you.  One distributor down and its onto the next.  You’re not alone as everyone is making their pitch to sell that next case of wine.

If you’re a dog lover like myself you understand the ”look” that this fellow companion provides when they’re in need.  As I look at the photo I see these guy’s saying “hey this was fun for the first 50 yards but if one more weed pokes me in the eye…”.  So here you are out in the middle of this economic mess trying your best to get your wine moving out the back door.  Sometimes you must feel like the dogs just looking for a way out. 

Creativity is needed now more than ever.  Your reps are looking for all the help they can get.  What can you do to bring attention to your wine?  During a recession people reduce their risk taking.  This is why that cute label with an unproven wine in the bottle is going to have a hard time selling.  It’s time to reach out to your loyal customers and reward them.  Take a cue from the Obama town halls, and bring your winery to their home town.   Have them invite their friends and business associates for a private tasting.  Be sure to communicate with all of your contacts before and after your road tours.  Create the buz about your winery.  Share what is new and your plans for 2009 and beyond.

People are craving positive stories.  Share yours now.  Sure, it’s a jungle out there but every jungle needs a King so keep sharing your message and keep polishing your crown.

Until next time…the weeds may be growing  but it’s the  flowers that we’ll remember.

On my way to the office I stopped to take a few pictures of hot air balloons near Yountville. As I watched them peacefully land amongst the vines, I thought about the image they created. One balloon was red, white and blue. It was bulging at the seams with pride like a real patriot. It looked like it wanted to keep going higher. It wasn’t ready to call it a day.

The other was deflating and losing air quickly. The decision had already been made. It’s job was done.

Watching the news from Wall Street can be very frustrating. How are you going to position your winery for what looks to be a fairly lengthy recession? Let’s take a closer look at the pictures of those hot air balloons. It is safe to say that the wine industry has been healthy and strong like our red, white and blue balloon. But today, with the reality of money evaporating from expense accounts and shrinking consumer optimism (reflected in empty seats at restaurants around the country) we are beginning to see the balloon deflate.

This is no time to panic. Instead, get your team together and begin to brainstorm strategies that will strengthen your presence in the marketplace. Focus your resources. You will need to bring your customer service to the highest level possible. Your retail business may be what keeps you in the game during these challenging times. The game isn’t over. Keep your balloon inflated so that you can rise above the turmoil.

I had the opportunity to tour a company that manufactures filtration systems for the wine industry. Their system removes impurities which can cause the destruction of the wine and make it worthless. I was fascinated by the complexity of the machinery and surprised at its portability. Their systems are a huge benefit to the wine industry and especially to small producers because it frees them from having to invest a significant amount of cash into limited-use equipment. Instead, a vintner can hire their company to process the wine onsite.

It is interesting to think that specifically designed filters along with sophisticated machinery and computer technology can work together to save wine. The concept is simple: remove the bad stuff and you will be left with something great.

Too often in business we invest time and money in equipment and technology while losing sight of the people required to make it all work. I often wonder how far we could go if we invested as much time and energy in people skills and strategic planning.

But let’s go back to that filtration system. Its sole purpose is to save our inventory from becoming worthless. What if we took that same approach with our employees? Rather than saying our employees just don’t get it, what if we turned on the filter and removed this “black hat” thinking? What if we helped them to see the big picture so they would have more of an interest in our mutual success? If we got rid of the negative views and the fear that prevents us from trying new ideas, how far could we go? It would be goodbye to business as usual.

It is time to teach all employees how a business really works. It is time to empower them to act. To make decisions that make everyone look better. They need to understand that there is more to running a successful winery than just their particular duties. Your team (and in fact every successful team) needs to see how what they do impacts other parts of the winery.

For your winery to move forward, especially in tougher economic times, you’re going to need your team to be focused on your vision and constantly thinking about how they can work to fulfill it. Filtering out your own negative attitudes that say “they can’t do it” and replacing it with “how can I teach them to help the winery succeed?” will be the first step in preserving your most important asset…your people.