The Wine Merchant issue 113

Page 1

THE WINE MERCHANT. An independent magazine for independent retailers

Issue 113, May 2022

Dog of the Month: Cleo Museum Wines, Blandford

How can we compete with Wine Society free delivery? Independents look for ways to reduce courier costs as their number one competitor drops its shipping charges

T

he Wine Society has dropped all

in Great Horkesley, Essex. “How can anyone

companies who who put these limitations

problematic for independent merchants,

problems obtaining competitive rates from

multiples.”

delivery charges to its customers in a move that could prove

who are already battling to mitigate rising costs.

“They’re the new Amazon of wine,” says

Anthony Borges, owner of The Wine Centre

compete?”

Borges says small businesses like his face

couriers. “Either our turnover is too small

and the big boys just aren’t interested – or

alcohol and liquids are prohibited,” he says. “The strange thing is, the same

on their courier services seem to

be distributing for the major drinks

For more than 20 years, Borges has

used a local courier, Tendring Express, a franchise of the national APC network.

Although Borges argues that its rates are

higher than he would like, “I lived with it, since website sales were always small”. He adds: “However now, with a new

website, and the increased effort in making it work better for us, I feel a stronger need to be more competitive with our courier charges.

“We charge £9.99 per address, up to

45kg. On small packages of one or two

bottles we make £1-£2 profit. Obviously

we make more on 12 bottles because of the increased margin in cash terms.

“A £9.99 charge on a small £30-£50 gift

is too high – we know that. But we have no

choice because of our high costs. Even on a case of wine of £120-plus it is considered high. We know for a fact we have lost custom because of it.” Hugo Meyer Esquerré’s Provisions business – a combination of wine shop and deli – has opened its second branch, located in Hackney, north London. Read our interview on pages 22-23. Only about half of revenue comes from walk-in custom

Borges is hoping there could be a way of

indies pooling their buying power to obtain better courier rates to compete with larger players like The Wine Society.

Julia Jenkins of Flagship Wines in St


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