The Only Place You Can Get This Information
Extreme focus provides the opportunity to allocate all of our resources into the two industries we serve. We put all our eggs in two baskets ....... or maybe we should say we put all our grapes in one basket press?
Because of our all-in approach to the wine business, my time is fully invested in this industry and as a consequence, I get to see more relevant information than probably anyone else in the US. If we diluted that focus and started to bank an assortment of non-wine businesses as is the case with virtually all other commercial banks, we wouldn't be able to spend the time and effort required to understand this unique industry and develop the content and expertise which helps our client's find success.
Our approach gives us the unique opportunity and platform to give fact supported answers to questions such as, How much do wineries really make?
Peer Group Analysis - A Unique Analytic Tool
We can sort the data into different groups and provide a snapshot to a client based on the region, varietals produced, cases produced, business model and many other factors. We have the ability to narrow it down to wineries who are mainly direct, with a tasting room, and sell primarily pinot noir. The output has proven invaluable to our customers.
How's Your Winery Doing Neighbor?
If you aren't in the wine business, you might be saying to yourself at this point, "Self? Shouldn't the wineries know what good financial performance is? Should you really trust a banker's perspective over your own?"
We all know that you can't trust bankers or politicians, but moving by that fact - the wine business is virtually all private. Even Gallo which is the largest wine company in the world is private, so financial statements aren't just lying around for winery owners to review.
There's a sense in the business that your neighbor is just that; they are your neighbor, not a rival or a competitor, so lots of information and stuff is shared. If you need a tractor because yours is mired in a soggy field, no problemo! Need a little welding and custom fabrication on a pump? I'll be right over with a welding rig. Stuck fermentation? I'll send over a portable heating unit.
That kind of sharing happens all the time. But ask for a customer list, or ask "Can you show me a copy of your financial performance so I can compare my winery to yours?" The answer is always just < ..... crickets ..... >. When it comes to that question you'll just get a mixture of liars dice, false bravado, partial truths and ..... well ..... the following video we put together is the best explanation of how that game is played in wine country.......