Wine Not: Lessons in Shifting a Luxury Product for the Millennial Market

They’re young, thirsty, and ready to pop the cork—but Millennials aren’t drinking wine like their parents did. Boomers value the snobbiness of wine, while Millennials care more about authenticity and adventure than luxury, looking to spend an average of $10-12 per bottle. But Millennials are on the brink of outspending their Boomer predecessors, and will be the dominant group in purchasing power by 2017. Suddenly, luxury products that in the past might have lured consumers and built their brands around exclusivity and lavishness need to prepare for a new generation of consumers who aren’t necessarily looking for an elite-only experience. As wine importer Melissa Saunders was quoted, “[T]his generation is blowing all [the pretense] out of the water. They don’t care about the pretentiousness of a wine, they want something that is authentic and speaks to them. This is a huge marketing opportunity.” The industry is shifting to serve this generation who represents one third of core drinkers, and in doing so, they’re forging new paths in how a previously luxury-focused market can creatively evolve to open up to a consumer with drastically different purchasing values.
 
New startups are seeing great potential in Millennials as the next generation of winos. Uproot Wines targets the affluent segment of Gen Y with minimalist labeling that graphically represents flavor notes and original blends in limited quantities. Club W sources lower-priced wines using big data to appeal to the “Palate Profile” of Millennials who can’t afford to buy top-tier wines but still want a regular glass of the good stuff. Meanwhile, lower-end retailers are getting into the wine game to attract Millennials who have a little bit more to spend. 7-Eleven recently added “ultra-premium” wines for an average of $19.99 a…

 
 
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Millennial News Feed

Quote of the Day: “Already-made costumes usually don't look all that good and are overpriced. Another MAJOR issue is what do I do with that wholly bought costume [after Halloween]? I don't want to store a Hobbit costume all year, or throw it away.” –Male, 27, CA

Kids might still have Frozen fever (bets on how many Elsas we’ll see this Halloween?) but Disney is ready to build buzz for their next princess movie. This week the first artwork for Moana, the story of a Polynesian princess sailing the Pacific, was released, along with news that the film will be out in 2016. Moana will be the fifth non-white Disney princess, which our Instant Poll results today show should align with viewers’ wishes. (Vulture)

High-end designers continue to make children’s clothing to outfit the best dressed generation, and fashion for the pre-teen set is looking more sophisticated than ever: GapKids’ collaboration with kate spade new york and Jake Spade is hitting stores for just two weeks on October 30th, featuring kid versions of some of the labels’ bright and colorful signature pieces. While Gap’s campaign telling adults to “dress normal”missed the mark—and isn’t doing any favors for their sales—we suspect this more whimsical pint sized capsule collection will have parents lining up. (Nitrolicious

How big has The Walking Dead gotten? The post-zompocalyptic gore-fest is so popular that ratings for its first two episodes beat out Sunday Night Football among “the demo that really matters,” viewers 18-49-years-old. Dead’s victory over football could be because this audience thought the games airing weren’t interesting. But if the ratings trend continues, it could be potential evidence that football is losing Millennial fans. (UproxxDeadline)

For teens today, fights in the hallway can lead to much worse than getting detention; students are actually being arrested for misbehavior in schools. Even smaller disciplinary issues like chewing gum, wearing too much perfume, or in one case eating another student’s chicken nuggets, can result in misdemeanor charges. The increased presence of police on campuses, and rise in teachers reporting misbehavior to local authorities, “has turned traditional school discipline…into something that looks more like the adult criminal-justice system.” (WSJ)

Millennial populations in small towns and rural areas might be “ticking slightly upward,” but that growth is no match for the continued trend of urbanization that the generation is spurring. Millennials are also moving en masse to the “fancier suburbs” of big cities, and reportedly Arlington, VA has seen an 82% growth in members of the generation from 2007 to 2013. Small towns feel limiting to these young consumers, who are still flocking to more bustling areas despite the fact that they are more expensive. (NPR)

Our Infographic Snapshots are data visualizations that take our proprietary bi-weekly survey stats and synthesize them to tell a story about this generation’s behaviors and views. From political stances to social media use to spending, we illustrate how many, how much, and how often. These helpful infographics are available to our Gold and Silver subscribers. (Ypulse)

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