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In The Winery

               example, if a distributor primarily targets bars and   from five to nine with a break for lunch. (You will
               restaurants for sales, they will not be the best fit   be expected to pay for lunch). Ask to see a list of
               for a winery looking to enter the retail market.     accounts you will be visiting in advance. In partic-
                                                                    ular, you need to know if you are visiting on- or
                 Lewis added that another huge part of this equa-   off-premise accounts, as that will impact your attire
               tion is the sales team and territory. “You might end   and the sales materials you need to bring. Know
               up splitting a state up because these mid-level and   your pricing and be prepared with collateral. During
               smaller distributors aren’t big enough to cover an   these visits, be flexi-ble. The distributor arranged
               entire state.”                                       an entire day of appointments around your wines,
                                                                    so be mindful when they need to do tasks such as
                 Be sure to explore the distributor’s overall opera-  putting in an order. Also, expect the occasional can-
               tion. What is the size of their staff, and is this staff   cellation.
               commissioned? Who are the key decision-makers,
               and what is their overall reputation with-in the       A few things Eddy suggested to keep in mind once
               wine industry? Is there an ownership change or       you have a distributor in place include monthly
               other management issues? Are they look-ing to        tracking to check your inventory and update your
               consolidate or expand? What is their timeline for    distributor on progress versus goals. He said win-
               paying their wineries, and do they pay them on       eries should know when it’s time to change pricing
               time? Does their warehouse and inventory practic-    and be aware of chain presenta-tion schedules.
               es work for your particular needs?                   “You need to be clear with your distributor regard-
                                                                    ing where you want your wines sold.”
                 They recommend the SevenFifty website https://
               go.sevenfifty.com/ as a valuable source in identify-    Finally, nothing is more important than having a
               ing brand competitors and researching distributors,  plan. “Have a plan going in. Check up on it, and fol-
               as well as price positioning and mar-ket positioning.  low up,” said Eddy.
               The website also allows you to look at which pro-
               ducers wholesale distributors have in their book.

                           Launching a Wholesale
                            Distribution Program


                 Before releasing a particular wine, be sure your
               sales reps and brand managers have adequate
               resources so they can tell the story behind this
               vintage. Be clear where you want your wine sold,
               as well as the pricing for placements. Along those
               lines, register your labels when applicable, and
               allow for ample time for this registration process
               to be completed. Determine if you need addi-tional
               staff to manage both this new sales channel and
               inventory.


                 When planning a market visit to a distributor,
               timing is everything. Many distributors hold their
               general sales meetings on Mondays and Fridays,
               with most of their sales staff in attendance. Hence,
               these meetings represent an opportunity to tell the
               brand’s story and have the staff taste these wines.

                 When going on a distributor ride-along, be mind-
               ful that most ride-alongs occur Tuesday through
               Thursday from 10:00 a.m. to 5:00 p.m. The typical
               visit is six accounts, though it could be any-where

               877-892-5332                       The Grapevine • May - June 2021                              Page 29





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