Problems, Policies, and Marketing Practices of Virginia Wineries

Abstract

The wine industry has had rapid growth worldwide over the last couple of decades. This growth has been particularly rapid in the State of Virginia over the last few years. While the impact of revenue and employment generated from the sale of wine is of obvious benefit to an area's economy, the potential generation of dollars from tourists whose major or secondary purpose for visiting an area is to visit wineries is also of great importance for many wine-producing areas. With the wine industry consisting of products with over 100,000 different brands, it is difficult for smaller wineries, particularly in wine areas less popular than California or Bordeaux, to gain market exposure and access. Therefore, many wineries rely on cellar door sales generated primarily from tasting rooms and tours, and on localized distribution. Winery tourism thus serves an important role not only in generating tourism revenue, but also in building brand recognition and consummating on-the-spot sales. This article reports the distribution methods and tasting room policies of Virginia wineries and provides a summary of what Virginia wineries consider to be their biggest problems.