amazon online wine
By GREG BENSINGER
Amazon.com Inc. is planning an online marketplace for wine sales directly to consumers, said executives for several California wineries, marking the Seattle Web giant's second foray into the business in three years.
Amazon hosted a workshop on Monday at a resort in Napa, Calif., and invited members of the Napa Valley Vintners association, said Terry Hall, a spokesman for the group. He said about 100 wineries attended the event.
At the event, Amazon said the marketplace would begin in the coming weeks and the online retailer will charge wineries a 15% commission of the sale price, as well as a monthly fee of about $40, according to people familiar with the workshop. Themeeting was hosted by Amazon executive Derrick Peters, who is listed as abusiness consultant and product manager and a previous marketing director forspirits maker Beam Inc.
An Amazon spokeswoman had no immediate comment.
In 2009, Amazon pulled back from an effort to sell and ship wine after its partner,
New Vine Logistics, suspended operations amid financial troubles. This latest effort
would spare Amazon the cost and difficulty of shipping fragile and heavy wine bottles
by passing that responsibility on to the vineyards themselves.
Wine sales online are challenging due to a patchwork of state-by-state rules that limit which companies can sell alcoholic beverages. And shippers must ensure that recipients signing for packages are at least 21-years-old, the legal limit.
Online wine sales represent less than 1% of total U.S. wine sales, according to Wine.com, another online seller that ships its own products to consumers.
"I am intrigued by [the program]" from Amazon, said Paul Leary, president of Bespoke Collection, a winery in Napa, whose staff watched the workshop on the web. "It's attractive, from a financial perspective." Bespoke sells wine under the Blackbird and Recuerdo labels.
Mr. Leary said he would likely wait to decide if he would sell through Amazon. Amazon is likely to start the service in time for the holidays, he said.
Debi Cali, general manager for Napa-based Baldacci Family Vineyards, said an online marketplace such as one Amazon is discussing could be confusing for customers. "We aren't licensed to sell in Massachusetts, for example, so someone interested in our wine wouldn't be able to get it shipped there, but in North Dakota they could get it," she said, adding that she sent two staff members to the workshop.
News of Amazon's interest in wine sales was reported earlier by trade publication Wine Industry Insight.
Write to Greg Bensinger at greg.bensinger@wsj.com
from the spectator
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- bill 9-28-2012 12:11 pm
By GREG BENSINGER
Amazon.com Inc. is planning an online marketplace for wine sales directly to consumers, said executives for several California wineries, marking the Seattle Web giant's second foray into the business in three years.
Amazon hosted a workshop on Monday at a resort in Napa, Calif., and invited members of the Napa Valley Vintners association, said Terry Hall, a spokesman for the group. He said about 100 wineries attended the event.
At the event, Amazon said the marketplace would begin in the coming weeks and the online retailer will charge wineries a 15% commission of the sale price, as well as a monthly fee of about $40, according to people familiar with the workshop. Themeeting was hosted by Amazon executive Derrick Peters, who is listed as abusiness consultant and product manager and a previous marketing director forspirits maker Beam Inc.
An Amazon spokeswoman had no immediate comment.
In 2009, Amazon pulled back from an effort to sell and ship wine after its partner, New Vine Logistics, suspended operations amid financial troubles. This latest effort would spare Amazon the cost and difficulty of shipping fragile and heavy wine bottles by passing that responsibility on to the vineyards themselves.
Wine sales online are challenging due to a patchwork of state-by-state rules that limit which companies can sell alcoholic beverages. And shippers must ensure that recipients signing for packages are at least 21-years-old, the legal limit.
Online wine sales represent less than 1% of total U.S. wine sales, according to Wine.com, another online seller that ships its own products to consumers.
"I am intrigued by [the program]" from Amazon, said Paul Leary, president of Bespoke Collection, a winery in Napa, whose staff watched the workshop on the web. "It's attractive, from a financial perspective." Bespoke sells wine under the Blackbird and Recuerdo labels.
Mr. Leary said he would likely wait to decide if he would sell through Amazon. Amazon is likely to start the service in time for the holidays, he said.
Debi Cali, general manager for Napa-based Baldacci Family Vineyards, said an online marketplace such as one Amazon is discussing could be confusing for customers. "We aren't licensed to sell in Massachusetts, for example, so someone interested in our wine wouldn't be able to get it shipped there, but in North Dakota they could get it," she said, adding that she sent two staff members to the workshop. News of Amazon's interest in wine sales was reported earlier by trade publication Wine Industry Insight.
Write to Greg Bensinger at greg.bensinger@wsj.com
- bill 9-28-2012 12:15 pm [add a comment]
from the spectator
- bill 9-28-2012 12:25 pm [add a comment]