Slide 12 of 24
Notes:
- But market remains very competitive…
- … and same fundamental challenges persist that were with us last year
- As we wrote in this year’s Annual Report, the leadership and passion of the Mondavi family has always set us apart in the premium wine industry. It is our tradition of “doing things differently and doing things better” and that tradition is
- why we planted our Napa vineyards with more vines per acre than our competitors, even though it costs more, it makes better wine
- and it’s why we are investing $14 million in advertising this year, when most of our competitors are simply discounting their prices, because advertising will build long-term brand equity
- With this theme of “doing things differently and doing things better” in mind let me cite 3 examples of how we are addressing some of the challenges in today’s market place:
- Minimizing the impact of the grape surplus
2) Structuring our sales team to meet customers’ needs
3) Building “must have” brands for consumers
