{"id":2529,"date":"2019-06-27T12:35:20","date_gmt":"2019-06-27T12:35:20","guid":{"rendered":"https:\/\/bevologyinc.com\/blog\/?p=2529"},"modified":"2019-06-27T12:44:50","modified_gmt":"2019-06-27T12:44:50","slug":"can-you-hear-me-knocking","status":"publish","type":"post","link":"https:\/\/bevologyinc.com\/blog\/2019\/06\/27\/can-you-hear-me-knocking\/","title":{"rendered":"Can You Hear Me Knocking?"},"content":{"rendered":"\n<p><strong>FINALLY,<\/strong>  the Supreme Court of the U.S. (SCOTUS) issued their decision on a case  that has the potential to change the playing field for interstate  retailer e-commerce.&nbsp;While the case did not deal with e-comm directly,  supporters of expansion of interstate ecommerce of beverage alcohol are  praising it for clarifying the conversation as it applies to retailer direct shipping.<\/p>\n\n\n\n<p>The substance of the ruling is that the Granholm decision, which is the foundation for interpreting many of today\u2019s direct shipping laws, applies not just to producers and  products, but also to retailer DtC sales.&nbsp;<\/p>\n\n\n\n<p><strong>Background:<\/strong>&nbsp;E-commerce\n of beverage alcohol (principally speaking about wine here) from \nretailers to consumers in states other than their own is only permitted \nin 14 states.&nbsp;E-commerce from domestic wineries in one state to \nconsumers in another state is allowed in approx. 40 states (It\u2019s not \nallowed at all between international wineries to consumers in any \nstate.)&nbsp;E-commerce from retailers to consumers in their own state is \npermitted in approx. 36 states.<\/p>\n\n\n\n<p>Confusing? Yes indeed.&nbsp;So. the \nhope was that the ruling in this case would be broad enough to sever the\n Gordian Knot that is bev. alc. e-commerce. &nbsp;&nbsp;<\/p>\n\n\n\n<p>It didn\u2019t do that.&nbsp;However, it does lay the groundwork for a broader interpretation of what\u2019s legal. <\/p>\n\n\n\n<p><strong>The Internet Will Out<\/strong>.&nbsp;Here\u2019s\n another perspective at the controversy. &nbsp;&nbsp;As we all know, e-commerce is\n the elephant in the room when it comes to bev. alc. sales.&nbsp;I have a \nchart that shows that only 4% of the national market for the category of\n bev. alc. currently goes through some form of e-commerce.&nbsp;Compare that \nto books or shoes where the numbers are greater than 50%.&nbsp;So basically, \nbev. alc. is inhibited from meeting consumers\u2019 expectations to be able \nto buy <strong><em>everything<\/em><\/strong> via e-commerce.&nbsp;Add in Amazon\u2019s interest in being able to sell <strong><em>everything to everybody<\/em><\/strong>\n and you have some powerful forces at play potentially impacting a \nmulti-billion-dollar industry structure that many think is hide-bound \nand untouchable.<\/p>\n\n\n\n<p><strong>So now what?<\/strong>&nbsp;I\u2019m sure \nwe\u2019ll be hearing a lot of opinions on what this all means, and here\u2019s my\n take on it.&nbsp;(And be aware I\u2019m speaking specifically from the point of \nview of smaller domestic producers and those export brands that are \nclamoring to break into the U.S. market, but are being stymied by the \nthree-tier system.)<\/p>\n\n\n\n<p>It\u2019s a whole new world.&nbsp;Innovative solutions \nare emerging that work within the three-tier system but are structured \nto service brands that can\u2019t get the attention or approval of \n\u201ctraditional\u201d distributors.&nbsp;I\u2019m talking specifically about <a href=\"https:\/\/libdib.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">LibDib<\/a> here, but it also relates to service importers such as <a href=\"https:\/\/www.mhwltd.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">MHW<\/a>, <a href=\"https:\/\/www.parkstreet.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">Park Street<\/a>, <a href=\"https:\/\/teimports.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">T. Elenteny<\/a>, <a href=\"https:\/\/www.usawinewest.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">USA Wine West<\/a> and <a href=\"http:\/\/americanspiritsltd.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">American Spirits Exchange<\/a>.&nbsp;These\n five say \u201cYes!\u201d to everyone looking for an importer, and most have \ndistribution licenses in states such as CA, NY, FL and others.  Like me,\n we&#8217;re all working to find ways for new brands to break into the U.S. \nmarket.  <\/p>\n\n\n\n<p>I think we\u2019ll see a lot more creativity from retailers \non DtC models that will test the limits of today\u2019s SCOTUS \nruling.&nbsp;Correspondingly, I expect producers\/suppliers\/importers to \ndevelop innovative marketing programs with direct delivery to consumers \nas the end goal.&nbsp;And whether that\u2019s through wine clubs, crowd-funding \nstrategies such as Naked Wines, delivery-within-an-hour solutions such \nas Minibar Delivery, through existing purwe e-commerce via Wine.com, or \nthe next generation of retailer direct,  I think we&#8217;ll be seeing big \nthings, pretty quickly.<\/p>\n\n\n\n<p><strong>Opportunity is Knocking, so open the door<\/strong>!&nbsp;&nbsp;Most\n people don\u2019t realize when opportunity comes knocking, because it\u2019s \nwearing dirty overalls and looks like work.&nbsp;I love that imagery!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court ruling potentially impacts interstate retailer direct shipping. <\/p>\n","protected":false},"author":1,"featured_media":2530,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[1],"tags":[378,429,424,50,426,432,324,428,423,325,425,427,430,431,380],"class_list":["post-2529","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-amazon","tag-american-spirits-exchange","tag-direct-shipping","tag-e-commerce","tag-interstate-e-commerce","tag-libdib","tag-mhw","tag-mhwltd","tag-nwra","tag-park-street","tag-spirits-e-commerce","tag-supreme-court","tag-t-elenteny","tag-usa-wine-west","tag-wine-e-commerce","et-has-post-format-content","et_post_format-et-post-format-standard"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/bevologyinc.com\/blog\/wp-content\/uploads\/2019\/06\/opportunity-is-missed-by-most-people-because-it-is-dressed-in-overalls-and-looks-like-work.jpg","jetpack_shortlink":"https:\/\/wp.me\/p7k1BV-EN","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/posts\/2529"}],"collection":[{"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/comments?post=2529"}],"version-history":[{"count":2,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/posts\/2529\/revisions"}],"predecessor-version":[{"id":2532,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/posts\/2529\/revisions\/2532"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/media\/2530"}],"wp:attachment":[{"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/media?parent=2529"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/categories?post=2529"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bevologyinc.com\/blog\/wp-json\/wp\/v2\/tags?post=2529"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}