Crafting Wine Brands that Connect with Next-Gen Consumers and Reconnect with Others

The U.S. wine market is in a period of ongoing transformation. Consumer shifts, market dynamics and negative volume growth continue to affect the wine industry. Yet wine is not going away. New wineries are opening, and new styles are hitting the shelves. What’s the secret to success, and what does the path forward look like? 

We reached out to industry experts from UC Davis Continuing and Professional Education’s Wine Marketing Program for insight on innovative branding and marketing strategies that breakthrough the competitive market and connect with next-generation consumers and reconnect with existing customers. 

Understanding Current Trends 

One of the industry’s biggest challenges is demographic and cultural shifts that are reshaping the market. 

“The traditional core consumer—Baby Boomers—is aging out, consuming less and no longer driving category growth,” said Ed Rice, managing director of Affinity Creative Group. “Millennials and Gen Z, who now make up the majority of legal-age drinkers, are approaching beverage alcohol with a vastly different mindset.” 

This new generation not only has an unprecedented variety of beverage options competing for their attention, but they are also more focused on health, wellness and moderation. 

“Today's consumers are increasingly prioritizing wellness, leading them to seek out lower-alcohol alternatives,” said Efrain Barragan, head of marketing for Grgich Hills. 

The “sober curious” and “better for you” movements demand acknowledgement and action from wineries to resonate with a broader audience and meet the expectations of this new generation of consumers and Baby Boomers who may be dialing back consumption due to health concerns. 

“Alcohol levels play only one part in the suite of attributes driving consumer choice,” said Alison Crowe, VP of winemaking and partner at Plata Wine Partners, LLC, who also serves as an instructor of UC Davis CPE’s Wine Marketing Program. “Sustainability, calorie content, vegan status and sugar content are all sought-after ‘wellness’ indicators that wineries need to take into consideration.” 

Transparency also plays a key role in this trend. The new consumer wants to understand what’s in their wine and how wineries are promoting wellness in their vineyards and beyond. 

“They want to know what the winery is doing to be environmentally and socially responsible with agriculture, winemaking, operations and their employees,” said Theresa Sanchez, CEO of Di Vine Selection Wine Consulting and principal instructor for CPE’s Wine Marketing Program. “We have seen this in the increased demand for organic, regenerative and sustainable wines, as well as the push for wine label ingredient transparency.” 

Capitalizing on Market Gaps 

One of the biggest opportunities in the market is to reach new demographics. 

“Few brands have successfully tailored their marketing strategies to resonate with Millennial and GenZ consumers,” said Barragan. 

“Younger and higher income Black consumers are consuming more wine, and the Hispanic American market has immense untapped potential,” said Christian Miller, proprietor of Full Glass Research and market research director of Wine Market Council. 

To meet the expectations of today’s consumers, brands need to deliver innovative products focused on wellness in an authentic, interactive way. 

“By harnessing data from social media trends, targeted market research and direct consumer feedback, brands can pinpoint underserved segments,” said Rice. “The goal is to develop products and experiences that not only honor the legacy of winemaking but also speak directly to the evolving needs and values of today’s wine consumer, who may become tomorrow’s enthusiasts.” 

According to Crowe, before going after the latest trend, wineries need to carefully weigh the feasibility. 

“Organization-wide, from grape supply through to the end sales channels, wineries need to ask themselves, ‘Is this something we could do well? Is this a product we could sustainably produce? Can we source it, make it, launch and market it successfully?’” said Crowe. “Whatever new projects wineries pursue should always come from and resonate with their company’s identity.” 

How to Stand out in a Crowded Market 

What are some strategies brands can employ to distinguish themselves in a competitive market? 

1. Define and target audience strategically. 

“You can’t be anything, available everywhere and to anyone,” said Miller. “Decide which customers you want to reach, and what distribution channels are going to place your wine in front of them. Then distill a unique (or at least distinctive) sales pitch to each stop along the way to the consumer.” 

“Your brand should own a distinct position in the mind of the consumer and the market,” said Wagner. “Every winery should be able to answer this question as succinctly and poignantly as possible: What makes you so different? The best answers will have fewer than 10 words.” 

2. Connect through storytelling. 

To get people to fall in love with your wine, you need to give them a story to fall in love with. 

“If you want a customer to remember your wine, you had better stop talking about water retention and calcareous soils, and start telling them something that touches their heart,” said Paul Wagner, a leading expert on wine marketing in the Napa Valley and co-author of Wine Sales and Distribution. 

Focus on why you made the wine and the people who make it versus how you made it. 

“Authentic storytelling isn’t about reciting age-old tales of heritage or terroir—it’s about forging genuine connections with modern consumers by embracing transparency, innovation and shared values,” said Rice. “Forward-thinking brands are now crafting narratives that dive into the behind-the-scenes realities of sustainable practices, creative collaborations with local communities, and the integration of digital experiences that invite consumers into the winemaking journey.” 

3. Enhance the value of your brand. 

“Consumers want to spend less and are looking more for value,” said Gary Fisch, founder and CEO of Gary’s Wine and Marketplace. “Wines need to overdeliver in their quality in the context of their price point.” 

Wineries also need to understand why consumers connect with their brand. 

“Your brand needs to resonate with your target consumers’ varied personal aspirations,” said Sanchez. “Do your research, hear their voices and setup experiences that will help them feel comfortable and want to get to know your brand more. During tastings, spend more time getting to know your customer, connect your story to theirs and only share wine technicalities if the situation merits it.” 

4. Establish a unique and memorable visual identity. 

“Consumers are excited about smaller serving sizes, whether it’s cans, Tetra Paks or smaller bottles,” said Crowe. “Winemakers should do their homework to vet new containers, as some nontraditional packaging options have a shorter shelf life than traditional glass bottles.” 

Embracing Modern Marketing Tactics 

Reaching consumers today requires a personalized experience that goes beyond basic demographics and speaks to their values and motivations. Content should be tailored for specific platforms and customized for various audience segments. 

“Offer content that educates, entertains or solves problems, and foster two-way communication by asking questions, running contests and responding to feedback,” said Barragan. 

Embracing the digital-first landscape that resonates with tech-savvy and mobile-first consumers is also key. Experts suggest strategies such as influencer partnerships, short-form video, immersive content experiences (think virtual tours of your vineyard or scannable labels that offer exclusive stories and pairing recommendations), user-generated content and personalized shopping experiences. Don’t forget to optimize your efforts by testing, measuring and analyzing data. 

“This comprehensive digital approach transforms every touchpoint into an opportunity for engagement and connection, ultimately driving brand loyalty and success in a competitive market,” said Rice.