There’s a new generation of buyers for wineries today. A number of years ago, large conglomerates added wineries to their portfolios as a means to extend their market reach and increase their revenue. This approach has mostly failed.
They found that they were often competing with themselves in the same market, and because they were mostly in it for the money, they lacked the commitment to truly build the brands. Today’s buyers are more focused, and they realize a need to segment the market according to good, better and best within a single brand.
Gauging a Good Match for a Winery Buyer
Here are five attributes of a quality buyer who can help take your winery to the next level, both in terms of profitability and in brand recognition.
- Financial Commitment. You don’t want the buyer to simply pay a pretty penny for your winery. You also want them to reinvest, and to grow the business with a firm financial commitment.
- Agriculturally-based. Ideally, the buyer understands the commitment to agriculture, and knows the timeline associated with growing or maintaining a viable vineyard. They’re able to step in with both patience and knowledge, enabling the winery to grow in a way that makes sense.
- Visionary outlook at distribution. They have an ability to quickly enhance or expand the distribution of your wines, either through their existing network, or through relationships they already have.
- Brand-building. They have demonstrated an ability to build a brand, and can apply what they’ve learned to your winery. That is, they’re not just there to build their brand, but understand the importance of the brand you’ve already established and know how to expand that brand.
- Pride of ownership. They have a pride of ownership that won’t exist with a company who’s just in it for the profits. They understand the nature of a family business, even if they are a privately held group. They bring this pride of ownership to any new business they acquire, and along with it a finely tuned sense for quality.
Your goal might be to exchange your “founder” hat for a new hat called “proprietor.” You can relax, and know that your winery is in good hands with the new owner, who will maintain and enhance your brand in the wine industry.
Call us today about California Wineries for Sale or wineries for sale in California.