Direct To Trade 2.0 — Timing is Everything

For Producers —

  • Access to markets (state or even regional areas) where wholesalers didn’t want their brand or even more, products within their portfolio
  • Ability for large brands to test new product lines
  • A place for them to recoup some margin for markets with limited sales
  • Total responsibility for sales marketing efforts in the market
  • Responsibility for fulfilling the product in an efficient, cost effective way

For Retailers/Restaurants —

  • Access to unique wines to differentiate their stores/menus
  • Direct producer relationships
  • Potential cost savings
  • Fulfillment options sucked (especially for large volume orders over 10 cases) in both cost and time
  • Pricing wasn’t always better (many wineries wanted more to compensate for the increased shipping costs)
  • Forced to buy in 6/12 bottle increments

For Wholesalers —

  • The ability to shed brands and especially products that didn’t turn quickly and tie up cash
  • Ability to see brands that needed full service and would graduate from DTT seeking a real wholesaler and already have a sales footprint to build upon
  • Reduce remote territory coverage
  • Some sales did not go through them. For each distributor, the loss or revenue MORE than made up for the huge financial burden of warehousing, inventory, and representing slow moving SKU’s

I’m not going to lie; our grand experiment was not a breakout success.

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Wine Revolutionary. Digital, CRM, CX, Start-ups, Social Media, Hospitality (especially wine) are my jam.

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Paul Mabray

Paul Mabray

Wine Revolutionary. Digital, CRM, CX, Start-ups, Social Media, Hospitality (especially wine) are my jam.

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