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Solutions to the crisis in wineries

After this viral crisis in which we find almost the entire planet today, experts already predict an important economic impact. The one that will affect almost all existing sectors, saving some very specific ones that are now at full capacity due to the health or food emergency. In the case of wine sector, a new scenario will open in which to take solutions to the crisis in the wineries, especially. Because after practically two months of national quarantine, the losses will be remarkable. Although not only that will have repercussions, since the winery companies will have to adapt to the transformations that will take place. Some specialists are reflecting on what those might be measures. We collect five here.

The wine, not paralyzed but depleted

In this present alarm status, wine sector you have not had a sudden and complete stoppage or stoppage of your activity. However, it has been hit by the cancellations both visits to wineries and attendance at events to promote products. To this, we must also add the order drop and, therefore, sales, to the national and international market. The new unprecedented health situation that has been accompanied by almost total closure in hospitality It has depleted the wineries. Restaurants and bars are plated to the public, so without selling they do not need drinks, unless they offer services Home. Not everyone can afford this alternative and, even so, the drop in income is more than evident.

Of course, although all those commercial activities of the winery companies are assuming a strong impact on the particular economy of each one, there are solutions to the crisis. Those will later arrive at coronavirus and, perhaps, in a changed landscape. Something that companies in the past have had to face in the past. wine sector that, we remember, they are not paralyzed from this Monday, March 30. Among the essential activities are also drinks and, therefore, bottles of wine that are marketed. Whether in supermarkets, neighborhood stores or other sales channels such as online

Wine tunnel stand at a fair / Photo: MAPA

Other adaptations already assumed

Precisely that last route through the own shop on the winery's website it is already implemented in almost all companies in the sector since the rise of the E-commerce. In reality, this has been one more in the set of changes that they have had to assume to adapt to the new times. Others have been related to digital marketing industry and use of social media or the fact of targeting a more informed consumer and even with other preferences.

The commercial dominance of large retailers, the constant creation of huge business groups or the market globalization For decades they have already posed past but addressed challenges. Sometimes successful, sometimes unsuccessful. But doesn't this invite us to think and believe in finding solutions to the crisis what will come?

MGWines and its wine tourism bodega Venta la Vega solutions to the crisis
Venta de la Vega Winery / Photo: mgwinesgroup

Five solutions to the post-coronavirus crisis

If current governments are reacting to this pandemic Immediately, making very difficult decisions with little time margin, companies play a similar role. Because the present scenario imposes fast and innovative actions. With the resources available, especially taking advantage of the technological ones, it is possible to address solutions to the crisis. And in Italy -the European country hitherto hardest hit by coronavirus- an expert in business strategies, sergio cimino, has given some keys:

- The Italian teacher believes that you have to be positive and hope in a sector that managed to overcome the financial crisis of the 2008. It did so thanks to a good adaptation to reality, with the wineries being Smart and inventing new proposals for your audience, as well as updating your business structure. If now comes another difficult moment, it will be necessary to know how to identify and strategic opportunities. 

- Just in that last mentioned sense will be the commercial strategies to be taken. They must be differentiated and focused on products that provide higher value. Now the reduction of costs is being forced, but also the improvement of productivity. It is convenient to evaluate functions, margins and breakeven points in each business line to find useful avenues of commercial exit.

- Then, it will be necessary to focus a large part of the efforts on the sales within the domestic market and not so much the exterior. This does not mean that bottle exports will disappear, but it does mean that it is much easier to get back on track at home, with closeness. 

online wine tasting glasses
Two glasses of wine

- In addition, companies must innovate in exceeding their commercial limits and take their products to the entire food chain. That is, also to other sectors not so wine-making through agreements, alliances or collaborations.

- Finally, the wine tourism will once again have a relevant role as attractive to the public but offered in a smarter, original and exclusive. Innovate or die, says the business motto.

In conclusion, these could all be good and useful solutions to the crisis. The one that will most likely fall on Spain, Europe and even the world.