Penn Shore Winery and Vineyards: An IMC Plan

By Dominica Luzzi

Executive Summary…………………………………………… 3 Introduction……………………………………………………. 5 Situation Analysis............................................................... 7

Secondary Research…………………………. 7 Product and Service Analysis………………. 8 Market Analysis……………………………… 13 Distribution Analysis……………………….. 17 Competitive Analysis……………………….. 18 Current Financial Situation……………….. 20 Historical Results…………………………… 21 Macroenvironment…………………………. 23

Primary Research…………………………………………… 25 Rationale……………………………………. 25 Methodology………………………………... 25 Key Findings……………………………….. 26 Implications………………………………… 27

SWOT Analysis……………………………………………… 29 SWOT Action Plan………………………… 30 Overall Campaign Goal………………….. 31

Overall IMC Objectives and Strategy………………….... 33 Financial Objectives……………………… 33 Marketing Communication Objectives…... 33

Marketing Communications Strategy…………………….. 35 Introduction…………………………………. 36 Consumer Segmentation………………….. 37 Target Marketing…………………………… 40 Positioning…………………………………. 42 Marketing Mix……………………………… 43

Creative Strategy……………………………………………. 45

Table of Contents

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Campaign tactics……………………………………………. 47 Advertising………………………………….. 47 Promotions and Public Relations………… 54 Digital and Social Media Marketing…….. 58

Campaign Timeline………………………………………….. 65 Campaign Budget……………………………………………. 67

ROI…………………………………………… 69 Evaluation…………………………………………………… 71

Conclusion………………………………….. 74 Appendices………………………………….. 75 Works Cited…………………………………. 80

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Executive Summary Introduction

+Executive Summary Penn Shore Winery and Vineyards is a family run business in North East, PA, that was established in 1968. This integrated marketing communications (IMC) plan provides an analysis and evaluation of the current and prospective Penn Shore brand image. This plan’s overall goal is to change their target market from its current audience to a younger demographic. This campaign will rebrand Penn Shore as the number one winery for the millennials in the Erie, PA, area by taking advantage of its lower prices, location, brand engagement and unique events. By successfully executing the tactics explained in this campaign book, Penn Shore will increase its market share and aim for top of mind awareness amongst the desired target market. Men and women, ages 21-30, who are “Image Seekers” and “Enthusiasts,” will be the target market for this campaign.

Secondary research shows that millennials are recently consuming more wine than other generations. These millennials find labels important and are interested in trying different varieties of wine. Quantitative primary research was performed in the form of an online survey administered to over 150 individuals. This research showed that few individuals in the desired target market were aware of Penn Shore, however those who were aware, rated them as high quality. The majority of individuals who took this survey were between the ages of 21 and 28. Additional key findings are as follows:

  The majority were either full-time students or had full-time jobs   Most said they drink wine most during the months of the summer and winter

  88.6 percent said that music and wine make a good pair   Social media is their medium of choice

The findings from this primary and secondary research will provide solid reasoning and aid the marketing communication tactics throughout this plan. The survey questions can be found in the appendices.

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+Executive Summary This plan indicates that Penn Shore’s main strength and competitive advantage is its summer event, which is attractive to millennials and will be advertised to promote the winery and the label itself due to a small budget. This is unique to Penn Shore and sets it apart from the 22 other wineries in the area. Penn Shore’s major weakness is low brand awareness amongst millennials, however there is a major opportunity to capitalize on with the amount of colleges and universities in the Erie area. This plan suggests that Penn Shore use online, traditional and promotional marketing and advertising to effectively reach this target market according to their lifestyles and interests. Brand engagement is essential to this plan’s success because these individuals appreciate relationships with brands. This plan will further explain the objectives and tactics that will be used to establish Penn Shore as the winery of choice for these millennials.

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+Introduction Penn Shore Winery and Vineyards was established in 1968 when they received one of the first two winery licenses in Pennsylvania. The winery opened in April of 1970. Also in that year, they created the first Pennsylvania Champagne. It’s one of the largest and longest established wineries in Pennsylvania. The winery is located at the center of the best grape-growing region in the East along the Lake Erie shoreline. Penn Shore’s mission is “to make good, reasonably priced wines that have consistent quality from year to year,” and they “strive to produce only the finest varietals and blends from European and American wine grapes grown nearby.”

Throughout the seasons, Penn Shore offers many activities for the locals and tourists to take part in. They have a tour that takes you through the cooperage area. You are able to see mammoth stainless steel storage tanks, a barrel room, champagne cellar, a modern bottling area and large warehousing facilities. They also have a retail and museum area, their own separate wine shop and four tasting bars. During the summer, they utilize their outdoor patio that overlooks the vineyards for entertainment. They have different musical groups perform every Saturday from 5 p.m. to 9 p.m. as a part of their “Music in the Vineyard” concert series. They also occasionally participate in the annual North East Wine Festival in the month of September. During the winter, bus tours visit their facility. They also have chocolate and wine tasting events during the winter.

Penn Shore Winery and Vineyards is owned by Jeff and Cheryl Ore. It is located at 10225 East Lake Road, North East, Pennsylvania 16428. During their busy season, they have close to 250 people a day coming in to tour their facility and taste their wine. They have 11 table wines, 9 vintage wines, two specialty wines and two sparkling wines. There are 22 other wineries in their area.

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Situation Analysis Secondary Research ���Product and Service Analysis ���Market Analysis ���Distribution Analysis ���Competitive Analysis ���Current Financial Situation ���Historical Results ���Macroenvironment

+Secondary Research The secondary research for this IMC plan looks into their products and services, distribution, competitors, their market and Penn Shore’s financials. This research helps to give a better understanding of how Penn Shore conducts their business and the market they conduct it in. It provides an overview of their competitors and how they compare to Penn Shore.

Penn Shore is a small, local business. It’s family run, having only two to three employees for the majority of the year. During the summer months, they employ 10 people, mostly college students. Their summer concert series has an average attendance of 500-1200 people. They make roughly $8,000 a night for that event. Their net present value is $1.5 million, and their annual income is $50,000 profitability a year. They are part of a scenic tourist wine trail, which brings them a lot of business throughout the year. Bus tours are a common occurrence for the wineries that belong to the Lake Erie Wine Country. There are 23 wineries total, and they work together to bring in customers to the area in general.

Company

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+Product and Service Analysis

Penn Shore offers 11 table wines, 9 vintage wines, two specialty wines and two sparkling wines. Penn Shore and its products have a historical status as the first winery in Pennsylvania, which for wineries is an important marketing differentiator because "older" wine is perceived to be more sophisticated. In comparing the regional wineries, Penn Shore's average price point is below the market average. This makes Penn Shore’s products reasonably priced compared to some of their competitors; however Penn Shore still keeps their image of being sophisticated. Below are lists of all the wines, their prices and their descriptions as shown on Penn Shore’s website.

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+Wines Table Wines Concord – $8.25 Wine produced from the Native American Concord grape. It has a distinctly fruity flavor with a sweet rich taste. Niagara – $9.25 The Native American Niagara grape produces a very fruity wine with a sweet aroma that reminds you of freshly picked grapes. Crystal Lake White – $9.25 A pleasantly sweet wine with a hint of fruitiness. Pink Catawba – $8.25 Produced from the Native American Catawba grape. This is a very fruity pink wine with a pleasant sweet flavor. Bianca – $9.25 Semi-dry white, slightly fruity.

Lambruscano – $9.25 Semi-sweet red, soft, with a mellow taste. This is a blend of Native American and French-American hybrid grapes. Diamond – $9.25 Semi-sweet white, with a fruity character.

Blush – $9.25 A slightly fruity character and semi-sweet finish make this a very enjoyable all-purpose wine. Burgundy – $9.25 A semi-dry red wine with a hearty flavor. Red Wine – $9.25 This wine is a select blend of French hybrid varieties. It finishes with a dry taste and has a medium body.

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Vintage Wines

Vidal Blanc – $11.95 A French-American hybrid grape- produces a very distinct semi-dry wine in a Germanic style. Vignoles – $11.95 (Ravat) A French-American hybrid grape- produces this very distinct semi-dry wine, which has a complex and well-balanced taste. Reflections – $12.95 Semi-dry white Riesling from the Lake Erie Region. Seyval Blanc – $11.95 Dry white wine with a crisp clean taste. Merlot – $19.95 Aged in French and Hungarian oak barrels, this is a deep ruby red dry wine with a smooth medium body.

Chancellor – $11.95 The French-American hybrid Chancellor produces a full-bodied, robust red wine with a pleasant oak-aged character. Baco Noir – $12.95 A dry red French hybrid with a distinct oak-aged character.

Cabernet Sauvignon – $14.95 A dry red wine with medium body and oak-aged flavor. Aged for eighteen months in Hungarian oak barrels.

Noiret – $12.95 An Estate Grown, smooth red wine with light oak, black pepper and cherry overtones. Aged for nine months in American and Hungarian oak barrels.

Wines

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+Wines

Specialty Wines

Kir – $9.25 Semi-sweet white grape wine with natural black currant and other flavors added. This unique taste has been enjoyed by the French as an aperitif for centuries. It was a favorite drink of Canon Kir, a Priest, who was Mayor of Dijon, Resistance Hero and Member of Parliament. In recent years this blend has been known as “Kir”.

Holiday Spice – $9.25 Red grape wine with spice flavor added. This wine is a special blend of red wine with a tantalizing spice flavor which will add that “Special Touch” to your holiday occasions. Perfect for use as hot mulled wine.

Sparkling Wines

Bubbling Niagara – $11.95 Sweet and carbonated white with a fruity character.

Champagne – $19.95 Extra dry, fermented in the bottle.

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+Services Their wine selection has a variety that allows them to meet many different tastes. A feature that is popular with the customers is their bottle discounts. It’s 10 percent off of six bottles, 20 percent off of 12 bottles and 25 percent off of 36 or more bottles. The benefit of this is creating a deal for their customers, and it inclines consumers to purchase more bottles to receive a discount. Another feature they offer for their bottles is custom wine labels. This allows consumers to have a personalized wine label, which is something special. Not only are there features of the products themselves, but also of the services that Penn Shore offers its customers. They provide wine tours that allow the customers to get a good understanding of the facility and what they do there. During the summer, they have their “Music in the Vineyard” concert series. This provides entertainment and encourages consumers to purchase their products.

Penn Shore has been producing quality products since 1970. They know what they’re doing and do it well. They have a good variety of products, however some of their competitors have a larger variety. Their prices are reasonable and by including the discounts, it makes it easy for customers to purchase their products no matter what their income might be. Penn Shore brings to the table affordable, regionally made everyday wine with line extensions for special occasions.

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+Market Analysis The wine market has changed over the past few years. Millennials, men and women ages 21-30, have become the top wine consumption generation. They are eager to try different types of wine. They view it as a more sophisticated beverage, and these young professionals have a disposable income they’ve never had before to spend on wine. Brands are important to this generation, therefore creating a positive image for Penn Shore’s brand is extremely important.

Targeting millennials is different than targeting previous generations that were consuming more wine. They are extremely involved with new technology, such as digital and social media networks and tools. They prefer online advertising to traditional advertising, and they also enjoy creating connections and relationships with their favorite brands.

The following charts show millennials at the top of the charts compared to other generations in wine consumption.

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+Market Analysis The previous charts’ findings are significant to this IMC plan. These charts combined explain findings of which generation is consuming the most wine, where they are consuming it and with who they are consuming it. The findings show that younger and older millennials, which comprise a third to half of wine drinkers, are consuming wine more than Penn Shore’s current target market. Not only does it show they are consuming more wine, it shows they are consuming more wine with other consumers in a social setting. Penn Shore will capitalize on this because it shows that more wine is being consumed all around with this market. Therefore, one person’s purchase of Penn Shore can influence another’s at these social events. These millennials purchase more wine a week, enjoy trying a wider variety of wines, buy wine as needed and visit the winery on a regular basis. By targeting this market, these charts suggests that wine sales will increase because they are purchasing it more frequently and drinking more of it.

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+Market Demographics

Geographics   Northwestern Pennsylvania   Near Lake Erie, Lake Erie Wine Country   Erie and North East, PA   280,686 population of Erie   Cold, snowy winters- located in the “snow

belt,” lies in the humid continental zone. Mild to hot summers.

Demographics   28-50 age range   Male and Female   White   Middle to high income household   Catholic   Baby Boomers   Generation X   Medium sized family

Psychographics   Mid to high social class   Perceives wine as a prestigious beverage   Hard-working individuals

  Mellow minded individuals

Behavioral   Purchase wine for special occasions and

holidays

  Always have at least a few bottles of wine at their house

  Consumes a glass or two for relaxation   Rarely visit the winery’s physical location

Penn Shore’s current main consumers are that of the older generations, Generation X and Baby Boomers, which is reflected in the analysis below.

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+Consumer Profile Michelle is a 38-year-old accountant in the city of Erie, Pennsylvania. She is married and has one son. She drinks a glass of wine at night to relax after she puts her son to bed. Michelle and her husband enjoy entertaining friends at their cozy home, right outside the city. Because of this, they always have a few bottles of wine in stock. She also likes to use bottles of wine as gifts and brings them to special events. During the summer, she enjoys visiting Lake Erie with her family and friends. During the harsh winter, she likes to sit by her fireplace at night and read. She is an intelligent woman, who has worked hard to get where she is at in life.

 

Holden is a 30-year-old entrepreneur in North East, Pennsylvania. He lives with his dog near Lake Erie. He enjoys outdoor activities, mellow music and good friends. He has been on multiple wine tours and regularly attends the Annual North East Wine Festival. He uses his money towards the pleasures in life. He works hard so he can have time to do the things in life he enjoys the most. He is in the process of buying a boat to cruise on the Lake. He wants a family someday, and wouldn’t mind supporting his wife as a stay at home mother.

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+Distribution Network Analysis

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+Competitive Analysis

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Mazza Vineyards This winery was established in 1972. They have a greater variety of wines, and in general, their prices are lower than Penn Shore’s. Their website is more interactive and is more appealing to the eye. They also have two sister wineries, Mazza Chautauqua Cellars and the South Shore Wine Company. They do not have live entertainment, and their discount rates are lower than Penn Shore’s. They have a Facebook page that is more interactive and has about 1,000 more likes than Penn Shore’s and a Twitter account, which Penn Shore is lacking. Their competitive advantage is their prices are lower, they have a larger variety of wine and they are a larger establishment with two sister wineries.

According to the employees at Penn Shore, they do not see having 22 other wineries in the area as a competition. The wineries work together to bring in tourists to the area as a whole. They help each other out and have friendly relationships with one another. This is described as the “restaurant row” concept. For example, one restaurant brings in little business, but having six restaurants makes it become a destination hub, and everyone’s sales skyrocket. They build on each other and create great energy. Likewise, Penn Shore could almost certainly not satisfy the total demand for wine in the area. They do not want to become the Wal-Mart of wines. Penn Shore will be the one to stand out.

To give a comparison of their products versus their competitors, however, I have chosen the three wineries that are closest in location to Penn Shore. Another competitor of Penn Shore is the Pennsylvania State Liquor stores because they sell a large variety of wine and not just regional wine. The local bars in Erie are also their competitors because the positioning of this campaign’s advertising tactics are designed to persuade millennials to choose Penn Shore’s summer concert series over the bars.

Arrowhead Wine Cellars This winery was established in 1998, much later than Penn Shore. They have a smaller variety of wines, and their prices are on average higher than Penn Shore’s. On their website, you can order apparel, gifts and wine accessories. They have events throughout the year, but not a constant one like Penn Shore’s “Music in the Vineyard.” Their biggest advantage is being able to order apparel and gifts specific to Arrowhead Wine Cellars directly through their website.

+Competitive Analysis

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Lakeview Wine Cellars

This winery was established in 2008. Their variety of wines is smaller than Penn Shore’s, but their prices are around the same. They have a Facebook page, and customers can order accessories and apparel directly through their website. They also have a summer concert series, however, Lakeview’s is during the months of May and June, whereas Penn Shore’s is during the months of July and August. Their biggest advantage would be the ecommerce website since their prices are relatively the same. Their concert series do not pose as a threat because it is during opposite months as Penn Shore’s.

Local Erie Bars Millennials are avid bar-hoppers on the weekend, and Erie boasts numerous venues across all categories including dive, family, sports and classy. The local bars are competitors because, on weekends during the Penn Shore summer concert series, potential consumers might be more likely to visit a local bar than the concert.

Pennsylvania State Liquor Stores Two of Penn Shore’s wines are distributed to the Pennsylvania State Liquor stores. These stores supply a vast variety of wines that are not just from Pennsylvania. This increases Penn Shore’s competition within the store, as well as with the store itself because these stores decide whether or not to put it on display based on how much wine the supplier has in stock. In these stores, Penn Shore is competing with wines from California and many other areas. Only a few wineries from the area are sold in the state liquor stores, so this ends up being an advantage against the other wineries in the area.

+Current Financial Situation Small Winery Industry In 2007, there were 114 licensed wineries in the state of Pennsylvania. Small wineries comprise most of the wine industry in Pennsylvania. It represents 88 percent of the wineries in the state, producing 20,000 gallons or 8,400 cases per year. Most of small wineries’ sales are direct-to-consumer. Because of this, they have focused on enticing consumers to come and visit their facilities. Wine tasting tours are very successful and yield positive sales results. Wineries have gone past simple production. There has been an expansion of related-product offerings, including concerts held on winery properties. Wineries that participate in these events help to increase rural economic development from the revenue. Pennsylvania wineries are incorporating all of these new aspects mixed with the old, traditional facilities to take advantage of the profits these activities create. According to an article in the Los Angeles Times, wine sales increased 7 percent in 2010.

Penn Shore’s Financials Wine is sometimes thought of as a seasonal product. Consumers drink it all year round, however they usually attend the winery itself during the spring and summer months. Its sales increase during the year-end holidays and the summer months. Wine is thought of as a prestigious beverage, so using it as gifts during the holidays or simply as a beverage that is consumed only a few times a year, is part of the reason it is seasonal. Also, during the summer months, Penn Shore offers daily wine tours. They occasionally take part in the North East Wine Festival which generally runs during the last weekend in September. Penn Shore's sales have increased every year since its current owner took over. Of the last few years, Penn Shores has averaged $50,000 profitability a year. Penn Shore's summer sales account for a large percent of their yearly sales. This is so because of three principal factors: (1) Consumers view wine as a seasonal product based on the growing season and marketed image of attending a winery during the pleasant weather months, (2) the availability and popularity of their daily wine tours offered during the summer, and (3) their participation with the wine tour group of wineries, and (4) the summer concert series, which makes, on average, $8,000 a night. 20

+Historical Results Penn Shore's present advertising efforts are not properly aligned with the emerging millennial market. For example, Penn Shore has a bifurcated Facebook presence using two different pages to reach the same millennial consumers causing confusion, duplicating staff resources in updating and creating difficulties in managing brand image. Their online presence is blurred because their blog is not linked with their webpage, is difficult to find (e.g., a Google search did not return the blog site in the first three results), is not regularly updated and is followed by a small readership. Penn Shore uses its online presence - its website and social media - as its sole source of outreach to the millennials. Its present efforts have resulted in a range of attendance at its summer concert series from 500-1200 and an average of $8,000 profit. A more carefully aligned campaign aimed at the millennials could improve attendance, profitability at each concert and expand market share.

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+Historical Results

The screenshot to the right shows Penn Shore Winery’s Facebook page. It’s “Likes” are significantly less than some of their competitors, and they have not posted anything s ince January. Consumer engagement needs to increase in order to help establish and maintain relationships with the millennials; therefore Penn Shore needs to update their Facebook page throughout the entire year, not just during their summer concert series.

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+Macroenvironment��� Economic Forces

  Recession: If a country is in a recession then individuals will spend less because they have less disposable income.

  Consumer spending patterns: If a consumers are starting to buy less expensive things as a whole, then wine is not something that they would need to buy.

Natural Forces   Weather: If there is a particularly rainy

summer, then people will not be as likely to go on wine tours or attend the summer concert series.

  Natural Disaster: If natural causes destroy the vineyard, then production would be slowed down and severely affected.

Technological Forces   Technology prices: If any of the technology

used in the wine making industry becomes expensive, this could cause problems.

Demographic Forces   Population: During the fall through spring

months, there is an abundance of college students in the area. Once summer comes, the population of people in the area will decrease.

  Education: The more people who are receiving higher educations will in turn receive better paying jobs, giving people more money to spend on higher priced products and luxuries, such as wine.

Political Forces   Presidential Election: If a new candidate is

elected, they could turn the economy around causing people to have more disposable income.

  Laws: If the legal drinking age were lowered, there would possibly be an increase of sales.

Cultural Forces   Preferences: If consumers start to prefer a more

natural, prestigious or higher alcohol concentrated beverage, then the number of wine sales might increase.

  Trends: If wine becomes the “cool” alcoholic beverage to consumer, then sales will increase. 23

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Primary Research Rationale Methodology Key Findings Implications

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Rationale/Approach The online survey was conducted to see what types of people were drinking wine currently, what type of media these individuals used the most and what are their interests. The survey was also conducted to see how aware individuals were of Penn Shore, and if these individuals would be interested in their summer concert series.

Methodology An online survey was conducted and administered through various social media sites such as Facebook, Twitter, a blog and LinkedIn. It asked questions to find out their age, income, wine preference, their awareness of Penn Shore, their feelings of wine and music and their media habits.

Primary Research Primary research was conducted to provide solid reasoning behind this campaign’s objectives, target market, strategy and tactics. This research was aimed for Erie and its surrounding areas’ residents to gather answers that apply to the individuals that live in the area.

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The average person who took my survey was in the 21-24 age range, with 25-28 being the second highest. This shows the majority of the consumers were of the millennial generation. The majority were either full-time students or had full-time jobs. This shows the majority of consumers were a mixture of younger and older millennials. 44.6 percent said that they drink wine occasionally, which is almost half of the consumers. The majority said that they were not aware of Penn Shore, but those who were gave it good ratings, showing Penn Shore has low brand awareness amongst millennials. Most said they drink wine most in the summer and winter, with fall right behind them. 88.6 percent said that music and wine make a good pair. These last two facts show these Erie millennials, who were about 75 percent of the consumers who participated in this survey, would be interested in Penn Shore’s summer concert series.

Key Findings

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+Implications From this survey, I have gathered that millennials are consuming wine more than in previous generations at this age. The secondary research confirms these results. Stated simply: the millennials are the most important emerging market for the wine industry. Penn Shore can capture substantial additional revenue by improving its marketing to this emerging market. By reaching this target market through their preferred medium, the Internet and social media, it will help keep them aware of Penn Shore’s events, deals and brand awareness in general.

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SWOT Analysis ���

SWOT Action Plan Overall Campaign Goal

+SWOT Analysis

Strengths   High brand awareness in the Erie area in older age

groups   Have their own retail store   On the lower half of price compared to local

competitors   Location is ideal for summer outings   Activities have been successful   Unique activity to set them apart from competitors

Weaknesses   They are slow adapters to social media and new

technology   Only use one social media channel   They have a small budget which limits the amount spent

allowed for marketing and advertising   Small number of employees the majority of the year

Opportunities   Erie is home to 14 colleges, universities and other

secondary educational schools which increases the population during certain times of the year

  The North East area is booming with tourists during the summer months

  Millennials enjoy sophisticated events occasionally   Wine consumption market trend has changed

Threats   There are 22 other wineries in the area   Weather might cause their events to fail   Cheaper alcoholic beverages are more accessible, for

example: beer   Local bars are the hot spots during the weekends for

millennials

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+SWOT Action Plan According to the SWOT Analysis above, there are things Penn Shore could do to increase its sales and especially their brand awareness among multiple target markets. Penn Shore will address their weaknesses by becoming more involved with social media and taking advantage of their scenery, which is along Lake Erie, and the fact that there are 14 colleges in the area. Although there are other wineries in the area, this action plan assumes the other wineries are collaborative-competitors and not direct competitors because Penn Shore works collaboratively with them to bring in tourists to the area as a whole thus increasing sales overall. However, market dynamics may tend to undermine this assumption because consumers in a recession make seek lower cost product offerings from other regional wineries.

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+Overall Campaign Goal The overall goal of this IMC campaign is to increase brand awareness among the new target market: men and women ages 21-30 in the Erie area. This campaign strives to put Penn Shore at top of mind with these millennials over all the other wineries in the area and position their summer concert series, “Music in the Vineyard,” as a classy alternative to the bar scene in Erie.

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Overall IMC Objectives and Strategy Financial Objectives Marketing Communication Objectives

+Overall IMC Objectives and Strategy The primary campaign strategy is to use Penn Shore's events to build brand awareness among the emerging market of millennials in the target region of Erie, Pennsylvania and environs using direct-consumer contacts through social media and public relations and media-to-consumer contacts through targeted advertising. Penn Shore would like to become top of mind among the target market in wineries of the area, and position their summer concert series as a classy alternative to the bar scene in Erie. By increasing brand awareness, the target market will understand that Penn Shore brings quality regional wine for everyday consumption by using the best production processes and building strong relationships with customers. Penn Shore’s mission is “to make good, reasonably priced wines that have consistent quality from year to year,” and they “strive to produce only the finest varietals and blends from European and American wine grapes grown nearby.” The objectives of this campaign will help educate the target market on Penn Shore’s quality wines, creating brand loyalty and more brand awareness, which should always help sales increase.

Objectives Financial

  Increase sales to the target market by 15 percent in one year

  Increase sales at the summer concert series by 15 percent in one year

  Raise at least $3,000 for the cause campaign with the American Heart Association

  Increase their market share by 10 percent in one year

Marketing Communication   Increase brand awareness to target market by

30 percent in one year

  Increase brand interaction with customers by 30 percent in one year

  Increase attendance at events by 30 percent in one year

  Increase top of mind awareness by 35 percent in one year 33

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Marketing Communications Strategy Introduction Target Marketing Consumer Segmentation Positioning Marketing Mix

+Introduction To meet the stated objectives, Penn Shore will first target a younger market whose members view themselves as “Image Seekers” and “Enthusiasts.” Penn Shore will use tactics that specifically attract this market, and promote and advertise for their event in ways that would influence millennials to attend them. Penn Shore will focus on establishing and maintaining relationships with these new, younger customers to increase brand interaction and brand loyalty. In turn, this will cause Penn Shore to become top of mind among the selected emerging market.

Consumer Segmentation Based on an 18-month study commissioned by Constellation Wines US , wine consumers typically segment into six categories based on consumer attitude and purchasing behavior. These segments are: Overwhelmed, Image Seekers, Traditionalists, Savvy Shoppers, Satisfied Sippers and Enthusiasts. On the following chart, the segments chosen for this campaign are explained along with the percentage of consumers within each segment.

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+Consumer Segmentation

Enthusiasts (12%)

  Entertain at home with friends, and consider themselves knowledgeable about wine

  Live in cosmopolitan centers, affluent suburban spreads or comfortable country settings

  Like to browse the wine section, publications, and are influenced by wine ratings and reviews

  47% buy wine in 1.5L size as “everyday wine” to supplement their “weekend wine”

  98% buy wine that costs more than $6 per bottle, which accounts for 56% of what they buy on a volume basis

Image Seekers (20%)

  View wine as a status symbol

  Are just discovering wine and have a basic knowledge of it

  Like to be the first to try a new wine, and are open to innovative packaging

  Prefer Merlot as their No. 1 most-purchased variety; despite “Sideways,” Pinot Noir is not high on their list

  Use the Internet as key information source, including checking restaurant wine lists before they dine out so they can research scores

  Millennials and males often fall into this category

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+Consumer Segmentation

For this integrated marketing communications plan, Penn Shore will be targeting “Image Seekers” and “Enthusiasts.” The target market Penn Shore wants to reach falls into the category of millennials. Millennials: use the Internet for information, enjoy trying new types of wine, live in suburban settings and pay attention to labels and ratings. According to the chart on the left, millennials are the most profitable market and largest share of consumers.

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+Target Marketing For this campaign, Penn Shore will be targeting men and women ages 21 to 30 in the middle to upper class in Erie, Pennsylvania and its surrounding boroughs, located in the Northwestern Pennsylvania region. These millennials will be interested in trying different types of wine and will come from the middle class. Facebook and Twitter are their social media of choice, and the only experience they may have with wine is playing “slap the bag” at college parties. Their attitude and purchase behavior classify them as “Image Seekers” and “Enthusiasts.” They will be in college or recent graduates, with incomes associated with first jobs out of college.

Research has shown that more millennials are drinking wine now than in previous generations at their age. Denise Gardner, a wine expert at Penn State University, credits millennials for the increased interest in wine in the area. She says they are trying new and local things. Leah Hennessy, owner of Millennier, a marketing and design firm based in Los Angeles that works with wineries to reach millennials stated in an article in the Washington Post that “Millennials are drinking more wine and better wine at a young age than any other generation has.” Along with secondary research, the primary research I conducted proved the same theory. The average person who took my survey was in the 21-24 age range, with 25-28 being the second highest. 44.6 percent said that they drink wine occasionally.

Erie is home to 14 institutions. Accordingly, millennials represent a significant portion of the population in the target region. This is an opportunity that Penn Shore will capitalize on with its marketing and advertising tactics.

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+Market Demographics

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Geographics   Northwestern Pennsylvania

  Near Lake Erie, Lake Erie Wine Country

  Erie, PA and its 14 suburbs

  280,686 population of Erie

  Cold, snowy winters- located in the “snow belt,” lies in the humid continental zone, Mild to hot summers

Behavioral   Use Twitter and Facebook   Play “slab the bag” with wine   Drink wine at parties

  Study abroad inspires their interest in wine

Psychographics   Mid to high social class   Mellow minded individuals   Care about quality and value

  Exciting to try new types of wine   Starting to mature

  Labels are important

Demographics   21-30 age range   Male and Female   Any race

  College students   Income associated with first jobs out of

college

  Generation Y (Millennials)

+Consumer Profile Jane is a 23-year-old Penn State Behrend graduate. She attended PSB for all four years and majored in finance. She grew up in Warren, PA; a medium sized town located an hour and a half south of Erie. She was offered a job at a big corporation in the city of Erie after graduation last May. She lives in an apartment with her boyfriend, who also works, in North East, 25 minutes from the city. She likes to try and eat healthy when she can. She enjoyed the bar scene in college, but is over that phase. She still likes to drink and have fun with her friends, but would prefer to do it at a mellower venue. She loves drinking wine and live performances. She enjoys outdoor activities and donating to charities.

Penn Shore Winery and Vineyards is a friendly and welcoming establishment with good customer relations, top-shelf products, and it gives individuals a place outside of their home to relax with entertainment. They have a variety of products set to please their customer’s taste buds. Unlike most of their competitors, they have a unique event during the months of July and August. Their summer concert series, “Music in the Vineyard,” is the perfect place to relax and enjoy some wine with your friends and family.

Not only are their products and events top-notch, but they have the trust and credibility factor, being one of the first two wineries to receive their license in Pennsylvania. They are involved in the community and have shown a caring side by creating a cause campaign for the American Heart Association. Penn Shore strives to bring their customers the best quality of wine while building long-lasting relationships with them.

Positioning

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+Positioning Map

The positioning map shows Penn Shore in relation to its main competitors based on the unique quality of the establishment, including their events, and how sophisticated the establishments are perceived to be. Penn Shore has several assets that position it has the most unique winery in the region. As indicated on the positioning map, Penn Shore operates a signature, one-of-a-kind event (the concert series), has a historical status as the first winery in Pennsylvania (which for wineries is an important marketing differentiator because "older" wine is perceived to be more sophisticated), and is viewed by consumers as a sophisticated alternative to the bar scene. 41

+Marketing Mix

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Product There will be no changes, additions, or deletions to the current product mix. If the consumers greatly prefer one type of wine over another, then there will be more of a demand for that type. The consumers will view Penn Shore’s products as sophisticated, classy, quality and reasonably priced.

Price

The overall prices of the products will remain the same with the addition of occasional sales and discounts on certain wines. One of the reasons that millennials drink wine is because they think it’s sophisticated and mature, yet reasonably priced. By keeping the prices the same, we are conveying that our wines are sophisticated and of good quality. Also, by keeping the prices consistent it will hopefully increase the overall revenue by keeping their current customers happy and by getting our target market hooked on their favorite wines.

As mentioned before, there are 22 other wineries in the area. In comparing the regional wineries, Penn Shore's average price point is below the market average. Some types of wine were more expensive at other wineries, while some were less expensive. It varies between each winery and each different type of wine. There were no drastic differences in the prices.

+Marketing Mix Promotion

This is the area that will change the most for Penn Shore. They will be targeting a younger market than normal, so where they promote themselves will have to change. In order to reach this new market, they will have to promote and advertise their events and products where it will influence millennials the most. This means using more digital and social media, as well as hanging flyers and posters around the college and university campuses. There will also be radio advertisements on the campus radio stations. In order to be successful with their digital and social media, their Facebook page will need to be updated more regularly, and they will need to get a Twitter account. There website will also need to become more integrated and interactive.

Penn Shore has some great events that would be interesting to millennials, such as their summer concert series. The direction of the promotion for this campaign is to target millennials in the area in the ways that will have the most influence on them to attend events and buy Penn Shore’s products. Along with digital and social media, there will be a cause campaign, traditional advertising and internal communications used to reach the objectives.

Place

There will be no change to the current distribution method. However, one of this campaign’s public relations tactics calls for two wine tasting events showcasing Penn Shore wines in three local bars.

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Creative Strategy��� Creative Brief

+Creative Brief Background: Penn Shore Winery and Vineyards is located in North East, PA along Lake Erie and belongs to the Lake Erie Wine Country. It received one of the first two winery licenses in the state of Pennsylvania and made the first Pennsylvania champagne.

Why are we advertising? Research shoes that millennials are currently drinking more wine now than ever. Penn Shore would like to become top of mind in this target audience among the 22 other wineries in the area. To target this audience, Penn Shore will advertise its summer concert series “Music in the Vineyard” to these millennials as an alternative to the bar scene in Erie, PA.

Whom are we talking to? The target market consists of men and women ages 21-30 located in Northwestern Pennsylvania near Erie, PA, and its surrounding areas. These millennials will be interested in trying different types of wine and will come from the middle class. Facebook and Twitter are their social media of choice, and the only experience they may have with wine is playing “slap the bag” at college parties. They will be in college or recent graduates, with incomes associated with first jobs out of college.

What do they currently think? Millennials would rather go to a club on a Saturday night. They question what makes Penn Shore different than the 22 other wineries in the area.

What would we like them to think? Penn Shore’s summer concert series is a classy alternative to the worn-out bar scene in Erie. Penn Shore will be top of mind in Lake Erie Wine Country.

What is the single most persuasive idea we can convey? Penn Shore “Music in the Vineyard” -- a different taste of Saturday night.

Why should they believe it? Penn Shore offers a unique experience compared to the other wineries in the area, and their location is the perfect summer hangout.

Are there any creative guidelines or mandatories? Penn Shore Music in the Vineyard’s information logo on all ads.

Tone of voice? The tone will be witty, intriguing, classy and fun. 45

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Campaign Tactics Advertising Promotions and Public Relations Digital and Social Media Marketing

+Advertising

Penn Shore is a small, local business. Therefore, there is a limited amount of money allotted for the advertising and marketing budget. Penn Shore’s event, “Music in the Vineyard,” is an event that could really attract millennials if advertised effectively. Therefore, for this campaign, Penn Shore will use that event to create awareness for the winery and the label. The chart to the right shows the recommended wine promotion methods for millennials supporting my advertising choices.

The tactics of this campaign revolve around the core message: “Penn Shore ‘Music in the Vineyard,’ a different Saturday night.” Not only does the event differ from Penn Shore’s competitors, but all the tactics of this campaign will work to make Penn Shore different and unique from their competitors. Different in this sense meaning sophisticated and unique.

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+Broadcast According to the Radio Advertising Bureau, a typical millennial listens to seven hours of radio per week and “nearly four in five young people (79 percent) listen to the radio.” Radio is still a good way to target millennials, especially in the Erie area where the market is not too large.

As mentioned previously, Erie is home to numerous colleges, universities and technical schools. College students comprise part of the desired target market for this campaign. To capitalize on this fact, there will be two radio ads played on the five major campuses: Mercyhurst University, Mercyhurst University at North East, Gannon University, Penn State Behrend and Edinboro University. Along with the campus radio stations, these ads will also be played on two local stations, reaching Erie and Warren, PA, and Jamestown, NY and its surrounding areas. There will be one radio ad that runs during the fall-winter months, and another ad that runs during the spring-summer months. The first ad will promote the winery itself in general, whereas the second ad will promote the summer concert series, “Music in the Vineyard.” The chart on the next page are the radio stations that the ads will be aired on.

These ads will work to increase brand and top of mind awareness by targeting the millennials while they are at the bars, switching their thoughts from the bar to the wine they are tasting. The second ad will bring awareness to the summer concert series during the time of the year that these students are sick of their worn-out weekend routine.

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+Broadcast

The ads will air at 7:30AM on Wednesdays and Thursdays, every week in the months of May through August and September through December. The fall months will be advertising their services rather than their products, such as wine tours and the scenic, historic atmosphere. This will be to target the college students while they are in living in the area and hopefully familiarize them with the brand before the summer comes along. The summer months will be advertising their summer concert series to try to increase attendance at the event, in turn creating more exposure for the brand to millennials. These times were chosen because this is the time most individuals listen to the radio: when they are driving to work or class in the morning. 49

+Broadcast The script for the first radio ad is as follows:

If you are 21 years or older and heading to the bars this weekend, look out for Penn Shore Winery’s free taste testing. Come sample five Penn Shore products and see which one your taste buds fancy the most. The taste sampling will be at the Plymouth, Sluggers and The Cornerstone the first three Saturdays in December, from 8PM to 12AM. If you’ve been searching for a more sophisticated evening, this is the event for you. For more information on how to upgrade your next Saturday night, visit our Facebook page. Penn Shore “Music in the Vineyard,” a different taste of Saturday night.

“December” will be interchanged with “September” during that month.

The script for the second radio ad is as follows:

Are you tired of the same bar scene every weekend? Class-up your Saturday night at Penn Shore’s summer concert series, “Music in the Vineyard.” Come enjoy live music and a better grade of Saturday every weekend in July and August from 5pm to 9pm at Penn Shore Winery. It’s free, and you won’t need beer goggles here. For more information on how to upgrade your next Saturday night, visit our Facebook page. Penn Shore “Music in the Vineyard,” a different taste of Saturday night.

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+Print

Magazines are still prominent in advertising wine to millennials according to the chart presented in the opening page of this section. Penn Shore currently advertises in the Great Lakes Seaway Trail Magazine. This campaign will continue to advertise in this magazine to target the young professionals that read them. The print ad will promote the summer concert series as classy, more sophisticated alternative to the worn out bar scene these millennials are used to. Penn Shore already advertises in this magazine every year, so this will not be added to the campaign budget.

This ad will work to intrigue young professionals to “make the upgrade” from the Erie bars to Penn Shore; therefore increasing brand awareness and enforcing the unique positioning. 51

+Non-Traditional

Five garbage cans will be placed along State Street between 12th and Bayfront Parkway because according to the map, these are the most heavily populated areas that millennials in the area would visit. They will be placed there in March and left up throughout the remainder of the campaign. This will begin in March because that is when the warmer weather arrives which will increase the number of millennials on the streets. The garbage cans will have Penn Shore’s wine label on them, along with the tagline, “Don’t waste another Saturday night,” promoting the summer concert series and being consistent with the branding for the event.

These garbage cans will work to catch the target market’s attention, and insist of them not “wasting” another Saturday night. This relates to the unique positioning of the campaign, increasing brand awareness and intriguing individuals to come to the winery.

This campaign will take advantage of guerrilla marketing in the form of wine bottle shaped garbage cans placed around the city with Penn Shore’s informational logo on it. These garbage cans will be placed around downtown Erie. The map below shows the most popular areas for bars, nightclubs, cafes, restaurants, education, entertainment and retail. 52

+Non-Traditional

The garbage can will promote a positive connotation by helping to stop littering and pollution, and helping to keep the streets of downtown Erie clean. This tactic will make Penn Shore stand out, grabbing passerby's attention. The garbage can is for waste, and the message is telling the consumers to not waste another Saturday night.

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+

Community Relations Engaging with the community is important for small businesses, and it can help Penn Shore create more brand loyalty, awareness and become top of mind amongst the target market.

People say that a little bit of red wine is good for your heart. A Cause campaign with the American Heart Association will be created. Customers can make donations at the winery and Penn Shore’s events. Consumers will be able to donate when purchasing wine at the winery, as well as through their website. It shows good character to give back to a cause that helps people so much.

The older half of the target market will have a disposable income that they’ve never had before. This could cause them to be more willing to donate to a good cause. This will also help the campaign objective of increasing brand interaction. Penn Shore will create relationships and emotional connections with their consumers by having a campaign that helps a good cause.

The main advertising message of this campaign is Penn Shore “Music in the Vineyard” – a different taste of Saturday night. This cause campaign sets them apart from the other wineries, and is “different” than just going to the bar or liquor store to spend money. Consumers can come to the event and give back to a good cause at the same time. This will answer the objective of increasing brand awareness.

Promotion and Public Relations Interacting with the public is important for Penn Shore’s brand image, as well as establishing relationships with their new target market. The following tactics will help Penn Shore stand out among their competitors by aligning with the core message of being different, sophisticated and an alternative to the bar scene.

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+Community Relations Wine can be more expensive than buying cheap beer for the college aged millennials. Penn Shore will create a free rewards card system for the consumers. Every time a consumer makes a purchase, they will scan a card that will give them random rewards throughout time, such as 50 percent off a purchase, free bottles of wine, etc. This will help answer the objective of increasing brand loyalty, while aligning with the core message of being different than Penn Shore’s competitors.

Erie is home to a very active bar scene. To reach these millennials directly, Penn Shore will have a wine tasting at select bars three times throughout this campaign. The first two wine tastings will be in September and December to target the legal-drinking aged millennials, and the second one will be in June to target the more local bar-goers. The tastings will happen during three separate Saturday nights, from 8 p.m. to 12 a.m., in each month, at three bars: Plymouth, Sluggers and The Cornerstone Bar. These bars were selected because they were three of the top four hottest bars in Erie according to BBonline.com.

During the months of July and August, every Saturday night from 5PM to 9PM, Penn Shore’s summer concert series “Music in the Vineyard” takes place. Different artists perform every Saturday, and consumers can enjoy the wine and atmosphere. The advertising for this campaign is centered around this event to create brand awareness for the winery and the label. Increased attendance at this event is key to reach a larger portion of the desired target market.

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+Word of Mouth The cause campaign will spread positive vibes to consumers, and the Twitter contest and check-in drawing will generate hype as well. The engagement between Penn Shore and its consumers via social media will create positive relationships with the brand. The events will have fun and carefree atmosphere with hopes of consumers telling their friends about how great a time it was.

Media Relations Establishing a good relationship with the media is essential for a businesses image in the public eye, especially for a small, local business. There are 22 wineries in the area and stories published by the media or events covered could help make the difference if a consumer chooses Penn Shore over another winery. Media will be invited to all events, so they can have a first hand experience of all the festivities.

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+Internal Communications Open communication among co-workers is essential for a happy, healthy workplace. Even if the business does not have a large amount of employees, internal communications help make things run smoother and more fun.

Once a month throughout June, July and August there will be a wine and dine night held at the winery for the employees. Everyone will bring a dish to pass and Penn Shore will provide the wine. This will give employees a chance to loosen up and not necessarily have to talk about work topics.

There will be a message board in the employee section of the winery where each person can write messages to their co-workers and keep all employees up to date on the latest happenings. There will be weekly meetings held on Monday mornings.

Crisis Communications Crises happen everyday. Penn Shore will have a crisis management plan in case anything goes wrong. The top two threats are negative review comments on Yelp and drunk driving from the event.

The crisis management team will consist of just the owners. Once the crisis occurs, the team will meet to discuss the situation. There will be a public apology made by the owners, depending on how severe the crisis. They will personally apologizes to the individuals involved, and will address to the public that Penn Shore is taking every action to correcting the problem to prevent it from happening again.

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+Digital and Social Media Marketing The target market for this campaign is millennials, so this campaign will most certainly take advantage of social media tactics. The social media tools that will be used are Twitter, Facebook, Yelp, QR Codes, a blog and an updated website. Penn Shore will hire a social media intern from one of the local colleges to help with these tactics. All of the following tactics will continue to promote the core message of being different and unique from the neighboring wineries and more sophisticated than the local bars.

Twitter Penn Shore will need to create a Twitter account. They will host a trivia contest on Twitter during the months of July and August, in conjunction with their summer concert series, “Music in the Vineyard.” The contest will be called “Trivia Thursday” and will be promoted on their Facebook page, website and at their physical locations, as well. Penn Shore will post a trivia question about wine, wineries, vineyards, Erie and the industry in general, and whoever answers correctly first will receive a free bottle of wine. They will use the hashtag “#PSMITV.” This will engage consumers as well as give them an incentive to visit the winery. In addition, the artists performing at the concerts will use the hashtag as well, drawing in more followers.

At every summer concert, there will also be a Twitter party held using the same hashtag. The social media employee will start the party by tweeting thoughts, questions and observations of the event. During the band breaks, the employee will remind the guests of the Twitter party and encourage them to join in the conversation. This will increase brand interaction, as well as Penn Shore’s involvement in the digital space.

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+Facebook Penn Shore will use their Facebook page to interact with their customers on a weekly basis, as well as promote all other campaign initiatives. Throughout the life of this campaign, Penn Shore will encourage consumers to check-in when visiting the winery. Every time a consumer checks in, they will be entered in a drawing to wine a $100 gift card towards Penn Shore’s retail store. This will entice the consumers to visit the winery; therefore donations for the cause campaign, attendance of the summer concert series and sales have a chance of increasing. Thus, integrating all tactics with the core message of being different than their competitors. The drawing will happen during the last month of the campaign, keeping the consumers involved throughout an entire year. Penn Shore currently has a bisected Facebook presence. They have one page for the winery and one for the retail store. The consumers are the same, and thus a more unified approach would be better. This campaign will dissolve Penn Shore’s Facebook page for their retail liquor store.

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+

Throughout this yearlong campaign, QR codes will be placed at all of their events, as well as throughout the winery and store. These codes will take consumers to a landing page of Penn Shore’s cause campaign with the American Heart Association. On this page, there will be personalized messages from the employees of Penn Shore as to why it is important to donate to this cause. Consumers will also be able to donate to the cause directly from this page.

This is an easy and intriguing way to direct consumers to the cause campaign. The landing page also creates a “different” approach to it, that being an emotional one. The personalized messages from the employees will create a connection with consumers that are different than just a regular web page asking for donations.

QR Codes

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Blog To document the festivities of the summer concert series, Penn Shore will create a blog. Each post will describe the atmosphere and provide first hand details of the event. Blogposts will be shared throughout all of their social media channels, giving their consumers a chance to comment on them with their opinions. The blog will document all of Penn Shore’s events throughout the year, posting on a regular basis to build their digital presence and engage their target market.

+Yelp Penn Shore will update and promote their profile on Yelp, which is a local directory service with social networking and user reviews. This sit gives consumers a chance to add their own reviews of Penn Shore and search what others have posted. It has Penn Shore’s location and contact information, creating easy access for interested consumers. Yelp is a widely used social network; therefore having a profile on it helps increase brand awareness. Since Penn Shore will be targeting image seekers and enthusiasts, this tactic will appeal to them because they commonly use online review sites for wine labels.

Penn Shore only has four reviews. This is not consistent with the fact they received the first winery license in Pennsylvania. They will add more business information and a picture. By promoting this profile, Penn Shore will receive more reviews which makes the winery more appealing to the target market.

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+Online Advertising Millennials know the ins and outs of social media channels. It’s their media of choice; so online is the best place to advertise in hopes of reaching this target market. Nine Facebook ads will run throughout the life of the campaign. Three will run during September and December, which are the first two months of the wine tasting in local bars, and three will run during June, July and August, the main months of advertising for the summer concert series. The cost per click will be $1.00. “December” in the ads below will be interchanged with “September.”

There will need to be the addition of the landing page for the cause campaign. Along with building this landing page, Penn Shore will update their current website to make it more interactive for their consumers, as well as the addition of their blog.

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+Online Advertising These Facebook ads will be specifically targeted to show up when the desired target market is searching for wine, winery, events in Erie, etc. The selections will be narrowed down to match the target markets demographics, psychographics, geographics, behavior patterns, and what they would search for.

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Campaign Timeline and Budget Return on Investment (ROI)

+Campaign Timeline

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+Campaign Timeline The above timeline shows during which months each tactic will take place. One radio ad will run September through December, twice a week on six stations to target the college aged millennials. The second radio ad will run May through August, twice a week on six stations to target young professionals and promote the summer concert series. The magazine is published yearly, so the ad will be run in January. The garbage cans will be placed on the streets once warmer weather arrives in March and will be left out until September, which is the last month of the campaign. The media is invited to all events, which will be June through August. Social media will be in constant use throughout the year. The loyalty program, cause campaign, as well as crisis and internal communications are active throughout the length of the campaign. The wine tasting will be in September, December and June. The first two months will target the college bar goers, and the last month will target the local bar goers, as well as promote the summer concert series. The summer concert series is in July and August.

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+Capital Budget

The above chart displays the costs for this campaign. The website will cost $800 to update. There are two radio ads that will be aired on six stations, eight times a month for eight months. The cost for one ad is $25, totaling $9600 for the entire campaign. There is $4500 allotted for Facebook advertising. There are nine ads that charge $1 per click. QR Codes will cost $30 to print, and there will be $300 allotted for discounts from the loyalty program throughout the length of the campaign. The Facebook check-in drawing prize is a $100 gift card. The wine tasting in local bars is taking place during three months, at three bars each month. This includes the samplings of wine, supplies and partnering with the bars for the night. The garbage cans will be larger than normal, and with design costs and permission from the city, they cost $250 per can for five cans, totaling $1250.

Costs Costs Quantity Total Website 800 1 800 Radio Ads 25 384 9600 8month Facebook Ads 500 9 4500 for 8months QR Codes 30 1 30 6 stations Twitter Contest 8 10 80 Loyalty Program 300 1 300 Drawing Prize 100 1 100 Profit Wine Tasting 150 3 450 Garbage Cans 250 5 1250

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+Capital Budget Quarter 1st 2nd 3rd 4th Total

Sales 25000 25000 25000 25000 100000 Cost of Goods Sold 6250 6250 6250 6250 25000 Gross Profit 18750 18750 18750 18750 75000

Costs Website 800 800 Radio Ads 2400 2400 2400 2400 9600 Facebook Ads 1125 1125 1125 1125 4500 QR Codes 30 30 Twitter Contest 20 20 20 20 80 Loyalty Program 75 75 75 75 300 Drawing Prize 100 100 Wine Tasting 150 150 150 450 Garbage Cans 625 625 1250 Total Costs 17110

Profit 57890

Profit $50,000 last year expect growth of 35%

Expected Sales Per Quarter Price Per Bottle 10 2500 Cost per bottle 2.5 Bottles per quarter 10000

The chart above is the quarterly budget for this campaign. The average price of a bottle of wine is $10, and the cost to make it is $2.50. The expected bottles sold quarter is 10,000; therefore the expected sales per quarter is $2,500 times 10,000 bottles per quarter is $25,000. The cost per bottle times the expected sales per quarter equals the cost of goods sold, totaling $6,250. The gross profit was calculated by subtracting the cost of goods sold from the total amount of sales. The total cost for this campaign is $17,110. To calculate the projected profit from the campaign, the total costs were subtracted from the gross profit, totaling a profit of $57,890. This is almost $10,000 more than Penn Shore made during the previous year. The average price of a bottle of wine is $10, and the cost to make it is $2.50. The expected bottles sold quarter is 10,000; therefore the expected sales per quarter is $2,500 times 10,000 bottles per quarter is $25,000. The cost per bottle times the expected sales per quarter equals the cost of goods sold, totaling $6,250. 68

+ROI

Return on Investment (ROI): Projected revenue – total cost = 75,000 - 57890 = 0.29556 _________________________ ________________ total cost 57890 ROI = 29.556% ROI is important for any business. It is used to evaluate the efficiency of an investment. The projected revenue, $75,000, minus the total cost of the campaign, $57,890, divided by the total cost, $57,890, gives this campaign a ROI of 29.556 percent.

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Evaluation Conclusion Appendices ��� Works Cited

+Evaluation Evaluating a campaign is essential to its success. This is how you measure whether or not you reached your goals and if it was an overall successful campaign. If millennials are choosing Penn Shore when they choose to drink wine, this campaign was successful. That is the main goal of this campaign- to clench top of mind among millennials in the Erie area and to increase brand loyalty and engagement.

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+Evaluation Marketing Communication Objectives

  Increase brand awareness amongst target market by 30 percent in one year

  Measure by awareness before campaign and after campaign

  Track website traffic using Google Analytics

  Use Facebook Insights data reports to show new fan demographics/geographics

  Conduct a survey before campaign and after campaign

  Measure attendance at events   Check Twitter followers

  Increase brand interaction with customers by 30 percent in one year   Track the conversations between employees

and customers on Facebook, Twitter and blog

  Increase attendance at events by 30 percent in one year

  Measure attendance at every event

Financial Objectives

  Increase sales to the target market by 15 percent in one year

  Measure product sales in dollars per quarter

  Receive sales reports every quarter

  Increase sales at summer concert series by 15 percent in one year

  Measure product sales in dollars per night of the event

  Raise at least $3,000 for the cause campaign.

  Measure the amount of money raised each month

  Keep a financial report of all the money raised each month and then at the end of the cause campaign

  Increase their market share by 10 percent in one year

  Measure signs of change in competitive landscape 72

+Evaluation of Promotions, Public Relations and Advertising To measure the social media tactics and online Facebook ads, analytic tools will be used, such as Hootsuite, Facebook and Google analytics. To measure the engagement of consumers, you will be able to see how many people participated in the Twitter contest and how many checked-in for the drawing, as well as retweets, mentions and comments on the blog.

Community relations will be measured by tracking how many people donated to the cause campaign, how many wine samples were given at the bars and how many consumers participated and used the rewards system. Their events will be measured by how many people were talking about it online, as well as tracking attendance.

By keeping track of how many employees attend the wine and dine nights, you can easily measure if it is a success. Also, if they are attending and participating at the weekly meetings and using the message board, then things are looking good internally. If there is a crisis and everything is handled professionally and in a timely manner, then it was a success. For word of mouth, you can measure it by tracking if the attendance numbers at the events increase from the campaign and if more people are talking about Penn Shore online.

To measure the radio ads, an online tool called “Radio Gauge” will be used. The print ad can be evaluated by how many consumers bought the magazine and saw it. A survey will be conducted at the end of the summer, asking consumers where they saw or heard about the event.

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+Conclusion Penn Shore Winery and Vineyards has quality products with a unique event. This campaign will prove that to the millennials in the Erie area. Low brand awareness is the critical issue identified through this campaign. It will be solved by creating and maintaining relationships, using media that attracts these consumers and positioning Penn Shore as a classy but still fun alternative to the bar scene. By increasing brand awareness to the target market, sales will increase along with Penn Shore’s market share because this market is currently consuming more wine than any other. This generation is also consuming more wine socially while visiting wineries on a regular basis.

This campaign will capitalize on this proven research by using a strategy and tactics that specifically reach this target through their preferred media. Penn Shore will be different and unique from its competitors but still hold a sophisticated image. Through this campaign’s objectives, strategy and tactics, Penn Shore will become millennial’s number one choice of wineries in the Erie area.

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+Appendices Survey 1. What is your age range? ___ 20 or younger ___ 21-24 ___ 25-28 ___ 29-32 ___ 33-36 ___ 37-40 ___ 40 or older 2. Please indicate your gender:

____ Male ____ Female 3. What is your employment status? (Please check all that apply.) Student Part-time Full-time Unemployed 4. What is the annual income of your household? $10,000 – $30,000 $30,001 – $50,000 $50,001 – $80,000 $80,001 – $100,000 $100,001+

5. What is your preferred type of alcohol? (Please check only one.) Vodka Rum Tequila Wine Whiskey Beer Wine Coolers Other 6. How often do you drink alcohol casually? (Please check only one.) Once a month Twice a month Three times a month Four or more times a month 7. How often do you drink wine? (Please check only one.) Never Rarely Occasionally Often Quite often Very often 75

+Appendices 8. Where do you usually drink wine? (Please check only one.) Home Restaurant Bar Winery 9. What type of wine do you prefer? (Please check all that apply.) Dry red Sweet red Dry white Sweet white Sparkling 10. How aware are you of Penn Shore Winery and Vineyards? (Please check only one): Not aware Somewhat aware Aware Very aware 11. How do you rate the quality of Penn Shore Winery and Vineyards Wines (Please circle only one)

Poor 1 2 3 4 5 6 7 8 9 10 Good 12. Do you think live music and wine are a good pair? (Please check only one.) Yes No

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+Appendices 13. What season do you drink wine the most? (Please check only one.) Fall Winter Spring Summer 14. How often do you think 21 to 27 year olds drink wine? (Please check only one.) Never Rarely Occasionally Often Quite often Very often 15. Which media outlet do you utilize the most for information? Newspaper Radio Internet Magazine Television Billboards

16. Which social media site do you use most? Facebook Twitter LinkedIn Google+ Foursquare 17. How likely would you be to participate in contests via social media? Unlikely Somewhat likely Likely Quite likely Very likely

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+Appendices Website

Penn Shore’s main page on their website is appealing. The pictures are a slideshow, and they are high quality. They do not have their blog on this site, nor a Twitter widget because they don’t have an account.

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+Appendices

The tabs of Penn Shore’s website need the most work. Research shows that a white background with black writing is more appealing. The content looks a little messy, unsophisticated and unprofessional.

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+Works Cited Penn Shore Winery and Vineyards - North East, PA. Web. 26 Nov. 2011.

"Penn Shore Winery and Vineyards." Web blog post. Web. 26 Nov. 2011.

Rizzuto, Robert. "Penn Shore Winery and Vineyards." Post-Journal. Web. 26 Nov. 2011.

THE ECONOMIC IMPACT OF PENNSYLVANIA WINE AND GRAPES. Rep. St. Helena,

California: MKF Research LL, 2009. Web. 8 Dec. 2011.

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