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: “Adventure Time is the show that best represents my generation because we like the nostalgic aspect of watching cartoons but we also like off-the-wall plots.” –Male, 21, MI 

Snapchat is ready to take over another space: teens’ faces. The app is introducing Spectacles, a new wearable that combines sunglasses and a camera, allowing wearers to capture video of their point of view and share it immediately to their Snapchat Memories. Though comparisons to Google Glass are inevitable, these specs come in bright colors and cool designs, making them more aesthetically appealing—a vital element for wearables’ success. While some might be skeptical of Spectacles, if they are as popular as Snapchat’s other efforts, “the youth will have made wearables cool in the blink of an eye.” (The Next Web)

Campaigns encouraging young consumers to vote are a hallmark of election season—but in 2012, 62% of young Americans reportedly didn’t cast a vote. So this year Rock the Vote has partnered with Doritos to spread the voting message in a unique way. The brand created a limited edition pack of “no-choice” chips with no flavor, no crunch, and boring packaging to show that not voting allows someone else to choose for you, and you might not get what you want. For a spot promoting voting registration, Doritos created a vending machine that dispensed the flavorless chips to any not registered to vote. (Creativity Online)

According to Alton Brown, Millennials have forever changed food entertainment. Ten years ago, cooking shows were all about simple instruction, but the generation’s “preference for bolder, edgier programs” and cooking savvy has changed the content and expanded the “food media landscape” beyond the TV screen. Those Millennial foodies, who might have watched Brown’s “kid-friendly” Good Eats growing up or on Netflix, are the audience for his new web series, designed specifically for mobile. For these viewers, all content will be under five minutes, and “f it doesn’t work on a phone, [he’s] not going to do it.” (Business InsiderFast Company)

Cheetos is bringing their museum back for Halloween. The brand’s summer contest asking consumers to submit their uniquely shaped Cheetos for cash prizes was reportedly one of their most “successful digital engagement programs of all time,” generating over 100,000 stories and photos. Thanks to that success, the brand is rebooting the effort, asking fans to build a Cheetos Monster with the snacks for a chance to win $50K. Turning brands or products into an experience a major marketing trend to attract young consumers. (MediaPost)

Millennials might use more apps than older generations, but they’re also spending more time on their top ranked apps than anyone else. According to comScore data, there are 20 apps that 25% of 18-34-year-olds are using monthly, compared to just 15 among those over 35-years-old. But the top 10 apps among the group are receiving 50% of Millennials’ mobile time, indicating that while younger mobile users have a more diverse range of apps they’re using, their few favorites are still getting the majority of their attention. (comScore)

Quote of the Day: “Bojack Horseman was my favorite show last year because it was funny and real. Maybe too real, just beautiful.”–Male, 23, AZ

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