Yep last couple of ann's have felt a bit 'ramped up', perhaps a new hire with marketing credentials is trying out an investor relations role.
Here's my theory on the latest numbers.
Firstly, there's less working days in December so that is a no-brainer.
Wine Depot:- The ramp up to Christmas should have seen strong volumes moved; followed by a substantial drop off. On aggregate I would like to believe that December was the best month for volumes for Wine Depot (ex WDA).
- However, with easing of local lock down restrictions there's less tailwind for the e-retail wine industry - something to note
Wine Delivery Aust (now Wine Depot):- If you recall, November was a kicker month for WDA. Why? relaxation of COVID lockdowns/border closures meant that people flocked to the cellar doors.
- In December borders became locked up again and there was a mandatory 2 week isolation for Sydney travelers to SA. My general observation was that Australian's largely settled in their home state to celebrate Christmas with family and not risk getting locked out. I suspect cellar doors saw a drop in patronage as a result of these factors.
- Cellar doors would have been closed for trading over the Christmas period.
So combined, I guesstimate that we would have seen a modest increase in volume for WD and a slightly larger decrease for WDA; resulting in a month on month decrease on aggregate volumes (Nov/Dec).
However - I'm getting bogged down in the logistics side of the industry - which really isn't that exciting. We take a hit on margins in this business so that we can take a good catalog to the B2B & D2C market here and eventually overseas. That's whats important and that's where our value proposition is.
The crucial part of this announcement was our dominance of the McLaren Vale wine region.
A side note - it would be good if DW8 could provide HC with an investor relations rep - similar to what they have over at the RAC board from Dr T. Lots of questions here, and we're just left to speculate.
(20min delay)