Technology is not a Four Letter Word

‘If you can’t measure it, then you can’t manage it’ … classic B-School value proposition

The Challenge

Back in 1997 when I first started working and living in San Jose for Mirassou Vineyards as the National Sales Manager, I found myself in Silicon Valley in the middle of a revolution in science and technology based on a platform laid down by a post World War II generation of scientist and engineers. These were frenetic times in the South Bay, and the structure of today’s technological achievements was being built in a series of fits and starts. At the time consumer access to the internet was really only a few years old, and broadband was just a dream in a small lab in Telecom Valley. The Mirassou family had gone down some several dead-ends strategically in the development of their brand. A significant challenge was at hand. I faced a similar challenge years earlier at Walt Disney World when I was assigned the role as the supervisor for all of the food & beverage receiving clerks. Significant waste occurred on a daily basis as a result of over ordering limited shelf life foods. Ordering was based on a minimum/maximum par inventory level. A system that, even in the early days of an open and functioning Magic Kingdom, was already dated. Disney had a top line research department, and we had a monthly calendar of predicted guest counts. Decision on revenue budgets, levels of staffing and even operating hours were based on these forecast which were accurate within .5%. So, I did a 30 day research trial of food, item by item, usage versus actual guest counts. From there a specific relationship between traffic and usage was discovered, and a ratio or factor was assigned to the ordering system and quickly implemented by all food & beverage outlets. Food waste as a percentage of Park food service revenues was reduced from around 2% to .2%. The answer was in the math, and then in getting the system to accept the change. But the challenge at Mirassou was more daunting.

David Mirassou, who had gone to work for Fred Franzia, after College, became a star in Bronco’s chain grocery division. After a few years he returned to the family business, but was relegated to a role selling to and merchandising groceries in Northern California. I shared an office with David, and after implementing some necessary field staff changes, David became the Western Division Manager. At the same time I hired Michael Stedman as our sales analyst. Both David and Michael were very sharp in viewing and conceiving new ways of looking at the sales process. David built a detailed, sophisticated  Access data base, and then gained permission to login to his distributors’ AS400 data files. Importing the data in the form of a .cvs file, he created pivot tables to populate the data, and then used this information to manage his distributors by providing goals and monthly feedback on not only a macro level, but on a micro level, salesperson by salesperson. Michael Stedman built a national key account list for multiple channels, and then implemented a version of this system to target and track performance within this targeted set. A lot of work. The industry took note, and the Gallo Wine Company started tracking our performance. Gallo purchased the Mirassou brand a few years later; and, David is still driving sales leading to the continued dynamic growth for the Mirassou brand. Michael Stedman, after years in New York has returned to California to lead the marketing efforts at Domaine Chandon. Once again the truth was and is in the math.

The Solution

So you can imagine my interest when I read that on Tuesday February 9th, 2010 VinTank and Brixiom Systems announced a new strategic partnership. VinTank is the well known Napa, CA based strategic digital think tank. Brixiom Systems, is an Atlanta, GA based technology company that has developed SaaS (Software as a Service) based customer relationship management (CRM), sales force management (SFM) and warehouse management systems (WMS) designed specifically for the beverage industry. As such Brixiom Systems provides via the cloud, a product that incorporates wine and spirits product and business rules and integrates this unique design with traditional customer management resources. And this actionable CRM product is available anywhere that access to a browser is available – your desktop computer, your laptop, netbook or smartphone.

At the working demo today, Wednesday February 24, 2010 VinTank Founder and Chief Strategy Officer Paul Mabray kicked off the meeting with this on-point statement: “Sales is a science that requires sophisticated management tools, and surprisingly there has been a deep void in trade Customer Relationship Management (CRM) tools for wineries. Only now, with the introduction of Brixiom Systems, is there a product that truly understands the nuances of B2B wine sales management.  We are excited about the leaps and bounds this tool will give the wine industry for better visibility and business intelligence in managing the traditional sales channel.”

Mr Mabray introduced and then turned over the meeting to Andrew Suss, Founder and CEO of Brixiom Holdings. Mr. Suss, a Vanderbilt University Chemical Engineering graduate, started his first company The Charter Group while still a student. TCG provided software solutions and strategic IT consulting services for public and private companies and for educational and governmental agencies. Mr Suss went on to found Brixiom Holdings in the Spring of 2008 with the goal of providing online tools to the drinks industry. Mr Suss launched his presentation stating that “We are truly excited to Introduce Brixiom Systems solutions to the Wine and Spirits Community.  Our products allow for an unprecedented level of information visibility, and enable remote users to access corporate data from wherever they are, via the web and smart phone devices” As the demo progressed, I realized that in this seamless sales automation solution developed by Andy Suss, that rather than shoehorn an existing CRM solution to fit your business model, Brixiom Solutions provides a customizable, scalable, affordable and integrated sales relationship package with transactional, engagement and analytical features with a dedicated beverage industry interface.

VinTank Partner, in charge of Business Development & Operations, Clay Wallin, a Vanderbilt MBA who in early 1999 co-founded eSkye Solutions, discussed working on a similar product in the formative days of eSkye, but ran into a wall at the enduser level. Under Clay and Smoke Wallin’s leadership, eSkye developed market dominant eMarket Channel applications and sold to Orion Wine Software In 2008. Mr. Wallin noted that “Brixiom Systems is a unique tool for wineries, importers, and distributors to collaborate like never before. It enhances sales productivity, and the reporting is robust and customizable”

The Message

In October of 2009 Wine Business Monthly published my CRM product review, that focused on specific functional CRM solutions for sales force automation. While these are all superior products with specific applications within the Sales, Marketing and Operations departments of wineries, none have the level of integration that Brixiom Solutions offers to contemporary winecos. The beverage industry reporting functions (compliance, taxation, samples, bill-backs) alone will allow a level of efficiency and savings that will more than justify the modest cost.

I’ve often observed that the recommendation of the adoption of new technological solutions in the consumer facing segments of the beverage industry business is often met with the look of someone who would much rather be someplace else. The investment in new technologies is often avoided by wine companies who view their current non-integrated systems as adequate to their needs. Is that really working for you anymore in this saturated and hyper competitive market? If I was either an enterprise wineco, or a small family winery, I would want to grab the competitive advantage that Brixiom Solutions provides by improving information flow and program execution. Become the supplier of choice to your distributor partners by increasing channel communications and collaboration. Differentiate your wineco from the competition by being seen in your marketplace as technologically advanced. If you do, you will see improved trade and sales efficiencies resulting in reduced cost of sales (COS) reduced points of friction and improved targeted distribution.

Copyright © 2010 Think Wine Marketing Blog® All rights reserved.

6 thoughts on “Technology is not a Four Letter Word

  1. Great piece on a potentially exciting partnership! I wished I had been an attendee at the demo. After reading your report I almost feel as though I had been invited. As a wino who is also enamored of all things tech and has rarely met a database she didn’t love, I am also mystified that more wineries do not use the latest in CRM software to their advantage.

    -Winewatcher

  2. Pingback: Technology is not a Four Letter Word | Brixiom Systems

  3. Pingback: Technology is not a Four Letter Word « Think Wine Marketing | Today Headlines

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  5. Thanks for the review Cork, it was a pleasure having you attend the demo.

    Unfortunately we weren’t set up to properly demo the iPhone/Android app. This is where our system really shines. We continue to be surprised and impressed with the adoption of cellphone/smartphone usage by our clients. The vast majority of the transactions being processed are originating from our web based iPhone app.

    Perhaps a good excuse to schedule another demo…???

    For the record, i was a big fan of your writing long before you starting writing about Brixiom Systems.

    Thanks again,

    Chadd Biehler
    Brixiom Systems

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