How Josh Cellars Is Rethinking Loyalty in Fragmented Wine Market
As wine brands grapple with softening demand, shifting consumption habits and a more moderation-minded younger consumer, some are rethinking how they engage shoppers altogether.
Rather than relying solely on traditional retail and distributor-driven models, Deutsch Family Wine & Spirits’ Josh Cellars brand is testing a different approach: a fully integrated, omnichannel loyalty program designed to build direct relationships with consumers.
Launched in September 2025 to existing Josh Cellars Wine Club subscribers, the Josh Cellars Rewards program connects purchase activity across direct-to-consumer, retail and select on-premise channels — a model that has historically been difficult to execute in beverage alcohol due to regulations and distribution-heavy models.
“We have seen strong early momentum since launching … driven largely by our digital ecosystem,” Dan Kleinman, chief marketing officer of Deutsch Family Wine & Spirits, told P2PI.
He noted that sign-ups are coming through email, social and Josh Cellars’ website, alongside in-store touchpoints like QR-enabled case cards and bottle neckers. Digital commerce efforts such as preshop placements and programmatic advertising are also helping the brand connect with consumers across browsing environments.
Building Loyalty in a Fragmented Category
Distribution layers and state-by-state regulations often limit a brand’s ability to directly capture shopper data or build ongoing relationships in the wine category.
To address this, Josh Cellars worked with Brandmovers, a loyalty marketing platform provider, to develop a system that unifies multiple purchase environments into a single consumer profile. This includes Shopify-powered DTC transactions, wine club purchases and retail activity captured through receipt uploads, Mercedes Pazmino, Brandmovers’ account director, told P2PI.
According to Pazmino, Brandmovers also supported the design of the consumer journey across Josh Cellars’ website, integrating program sign-ups into key touchpoints such as the rewards registration page, account pages and checkout, while helping shape launch communications and the rewards catalog.
Behind the scenes, the platform incorporates state-based eligibility rules and validation systems to ensure compliance, effectively managing regulatory complexity without disrupting the consumer experience.
Gamification Drives Discovery
One of the most engaging features of the program is a varietal exploration tracker built into the rewards dashboard, which visually maps a consumer’s progress across the Josh Cellars portfolio and incentivizes product discovery.
- A “collector’s journey” tracks bottle milestones (5, 10, 20, 50 purchases) tied to escalating point rewards.
- A varietal checklist encourages trial across wines such as pinot noir, chardonnay and Reserve offerings.
- Progress-based incentives reward both frequency and breadth of purchase behavior.
This gamified structure is designed to address a key challenge in wine: Consumers often default to a single varietal or SKU.
According to Kleinman, early data suggests the approach may be working and signaling early signs of trial. “More than half of members who have earned points through a purchase [are] buying two or more varietals,” he said.
From Transactions to First-Party Data
Beyond engagement, the program supports the industry's broader shift toward data ownership.
Each interaction, from receipt uploads to reward redemptions, feeds into a unified dataset that gives the brand visibility into purchase frequency, varietal preference and engagement patterns.
“With each consumer who signs up and redeems points, we gain valuable first-party data that helps make our marketing even more personalized,” Kleinman said.
A Disruptor Mindset From a Legacy Brand
While loyalty programs are well established in other CPG categories, their application in BevAlc has been limited.
What makes this initiative notable is less about the mechanics and more about the mindset.
Josh Cellars — a widely distributed, established brand — is applying strategies more commonly associated with digitally native disruptors:
- Direct consumer relationships
- First-party data capture
- Gamified engagement and trial
For other BevAlc brands, the takeaway may not be to replicate the exact model, but to rethink how loyalty can function as long-term infrastructure rather than a short-term promotional tool.
The program is still in its early stages. To date, most program awareness has come from existing Josh Cellars website visitors and CRM communications, with broader paid media support just beginning. But its initial traction suggests that even in highly regulated categories, brands may have more room than expected to innovate around loyalty.
For other BevAlc brands, the takeaway isn’t to replicate the exact model, but to rethink how loyalty can function as long-term infrastructure rather than a short-term promotional tool.
Ultimately, the goal is to transform loyalty programs from simple promotional tools into long-term brand relationship platforms, said Pazmino.
