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Competitors?, page-5

  1. 120 Posts.
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    Hi Strat,

    I think the B2C businesses like Naked Wines etc would have agreements with individual wineries, and may keep limited stock in a warehouse somewhere (costly), or otherwise would organise direct shipping from the winery's holdings, which can be a slow process. eg 4-7 days.

    The with DW8 offering is that he has linked up 5 large deposits for holding wines in each major city, which then enables same or next day delivery. DW8 is only a cloud platform though, which brings all parties together. So when the winery delivers pallets to the depot, the winery is essentially paying for the warehouse storage, and the winery is paying for the Australia Post delivery charge. but the scale of the whole thing means it's cheaper per delivery and cheaper for storage.

    I recall Dean saying the Wine Depot platform has been coded so that it can be linked to multiple industry software programs that wineries use. and they offer IT support to ensure a wineries software system (billing, inventory, etc) can be linked to Wine Depot.

    Phase 2 of WineDepot (once many wineries are signed and supply has reached a good level) will be to focus on the buy side. ie getting commercial businesses to access wine through WineDepot. I think it was Steve10 who suggested you could run an eBay wine business and guarantee same/next day delivery to your eNay purchases, all just using WineDepot as your fulfilment program.

    The beauty of cloud based offering means low costs. And this is important because Wine and Alochol generally are very low margin industries, so you don't want capital tied up in property and plant equipment.
 
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