Surviving Marketing Myopia in the U.S. Wine Industry

The U.S. was once home to a prosperous horse-drawn carriage industry of over 13,000 small and medium-sized businesses, about the same size as the U.S. wine industry today.

According to historians, buggy whips were indispensable in the early 20th century:

Westfield, MA (aka "Whip City"), became the symbolic center of the industry, with family-owned businesses and bustling factories satisfying the needs of horse-drawn buggy owners with an array of pedestrian and luxury buggy whips.

Sadly—for Whip City and the entire carriage industry—in 1903, Henry Ford introduced the automobile.? And you don't need to be a historian to see how far the buggy whip industry has fallen.

The last time I saw a buggy whip, it was held gently by a happy carriage driver wearing a turn-of-the-century costume waving to the crowd watching the Rose Bowl Parade.

What was once a thriving industry now only exists as an obscure niche serving eccentric hobbyists.?The lesson for wine marketers is summed up by George Santayana:

“Those who cannot remember the past are condemned to repeat it.”

Marketing Myopia in the U.S. Wine Industry

Looking back at the evolution of consumer transportation, it's easy to see that the buggy whip industry was the victim of what's now known as Marketing Myopia.

First described by Harvard business professor Theodore Levitt, marketing myopia is a sometimes fatal condition only afflicting industries with a long record of success that stubbornly focus their marketing efforts on what's worked well in the past, even when technology and consumer tastes change over time.

The good news is that marketing myopia can be cured by any company capable of evolving its marketing efforts: the products it makes, the prices it charges, the places it meets consumers, and how it promotes its brands to a new generation of customers.

A shining example of a successful buggy whip brand refocusing itself to serve the needs of modern consumers is COACH? | Handbags, Wallets, Clothing, Menswear, Shoes & More.

A New Road to Wine Industry Success in 2025

As a lifelong student of business success and wine marketing, I see signs that many U.S. wineries and the owners who parlayed past success to build a traditional wine business will not survive the changes affecting our industry due to declining demand, a lack of personal interest, business financing, or a combination of these factors.

That's the cost we pay for capitalism's appetite for creative destruction. ?"Out with the old and in with the new" seems essential to some part of human nature.

Fortunately for forward-looking wine brands with the resources and foresight to evolve their products and services to meet the needs of modern consumers, the road to success is well-marked but lightly traveled because it requires businesses to fundamentally rethink what it means to be in the wine industry.

Rethinking Wine Marketing – Product, Price, Place & Promotion

While some business owners and analysts still grieve our industry's woes with alarm, anger, bargaining, or denial, it's inspiring to see a growing wave of new voices accepting reality by reimagining their approach to success in our iconic industry.

For professional marketers, it's time to earn our keep, not by replaying the greatest hits of rinse-and-repeat wine marketing, but by revisiting our core assumptions about the basics of consumer marketing: product, price, place & promotion.

For example, what do you think wine is?

If you believe it's purely an alcoholic beverage made by fermenting grapes using traditional methods, I wish you luck competing for the love of a rapidly dwindling customer base.

But what if you ferment grapes or other fruit to produce traditional wine, plus NA wine, canned cocktails, or other adult beverages featuring psychoactive ingredients and still call it "wine"?

Wine aficionados who see their obsession as a form of religion might call it "blasphemy!"

But, for business owners, employees, and stakeholders who need to succeed in a rapidly evolving industry, reinventing the products and experiences we deliver is a proven path to progress.

The same can be said about innovation in pricing our products, the places where we sell, and how we promote our brands to engage a new generation of customers.

That's why many of the country's most successful wine marketers agree that we now face an unpleasant choice: adapt or die in a competitive world.

Lead, Follow, or Get Out of the Way

The time will come when we can fondly reminisce about the good old days of DTC wine marketing and the epic adventures we enjoyed together over an incredibly successful run.

Some of us might finally retire, your bank account might tell you it's time to exit the industry, or you can successfully guide your wine business to a new place where you can thrive.

At least you won't be alone. ?You're part of a resilient community with deep roots spanning thousands of years. ?We've weathered fierce storms before.

Like the vines producing the fruit we harvest, the wine industry and the people who make it work will always find a way to survive even the most daunting challenges.

Happy Selling!

ABOUT THE AUTHOR

Bryan St. Amant, founder and CEO of VinterActive, holds an MS in Business Management from M.I.T. and a BS in Mechanical Engineering from U.C. Berkeley. ?His award-winning work has been featured in books, magazines, and seminars, including CFO Magazine, Inc., CNN Money, eMarketing Magazine, Integrated Direct Marketing, Direct Marketing Association, Grapevine Magazine, Wine Marketing Report, Wine Business, and the Wine Industry Network.