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DISTRIBUTING WINE

In most wine-producing countries, some wine is sold at the cellar door. Sometimes a producer may rely solely on cellar-door and mail order sales, but that is rare. The cellar door has the advantage of allowing you to taste the wine before you buy, while enjoying the winery setting. Paradoxically, it may not always be much cheaper than in a shop, especially in popular tourist regions. It can, however, introduce you to little-known wine regions or to small producers of high-quality wine that is not easily available internationally, The disadvantage is the sense of guilt you can feel as you make your excuses and leave without buying a case.

A very large producer will probably establish its own distribution channels but most producers rely on someone else to distribute, and sometimes market, their wine. A wholesaler can concentrate on obtaining exposure in the most appropriate stores and restaurants. This becomes particularly important for dealing with the language, law and culture of another country when exporting. US distribution is complicated by the fact that licensing is controlled by each of the 50 states.

The choice of wines you are able to buy will depend on whether or not you are in a wine producing country. Sweden and Singapore, for instance, which don't produce wine, have a range of wines available from a number of countries. In France, however, you have to search very hard for a wine from Australia, though a token Chianti or rioja might be available. In Australia, you might find Chianti and Bordeaux, but not much from Portugal or Spain. The advantage of buying 'in a wine-producing country is that the local wine should be comparatively cheap, though occasionally punitive tax regimes (as in Australia) are anomalies. The USA is the exception to the general rule, both producing wine and offering an excellent variety from overseas.

Most wine is still bought in shops, but the traditional, pompous wine merchant is becoming a creature of the past. In Europe, supermarkets have come to dominate sales over the last couple of decades. In 1997, in the United Kingdom, 60 percent of all sales were made in supermarkets, and 97 percent of sales there were under E£ (8 Euros; 85 percent are below US$8 in the USA). In France, sales are even more concentrated. The buying power of supermarkets means that they can keep prices down, often buying direct in bulk and bottling under their own labels. The downside of such mass selling is the restriction of choice. However, the supermarkets, particularly in France, may have regular "wine fairs" (foires du vin) which offer a wider range and particular bargains.

In other countries, wine retailing is also becoming more concentrated as the benefit of centralized buying power allows prices to be kept low. But retail chains in Australia and the United Kingdom are expanding at the expense of smaller outlets. Meanwhile, some countries have legislated for the introduction of this kind of concentration: Sweden and Canada, for example, both with a strong tradition of anti-alcohol campaigning, have long had state monopoly retail outlets.

For more choice and higher quality, seek out the smaller chains or independent retailers. Oddbins in the United Kingdom has long offered a wide range of excellent wines. A Company called Nicholas, centered in France, sells very high quality wines. Some independent merchants in all countries offer range and quality, and places like the oenotecas (local cafes/wine stores) in Italy may offer local wines at good prices.

One easy way to buy wine is via mail order from wine clubs. These may be stand-alone operations but are often linked to other organizations. The United Kingdom's largest wine retailer is now Bordeaux Direct, whose most well-known affiliate is the Sunday Times Wine Club. Wine clubs offer ease of access, and their size generally affords competitive prices but a comparatively restricted choice. They also tend to fill their "special offers" with wines that they have bottled directly under their own labels (on which the mark-up is substantial). Most offer a regular pre-selected dozen a few times a year-which can be a good way to taste new wines, but leaves you at the mercy of the club's selection panel.

The most venerable of the wine clubs are the wine societies, which are cooperative ventures requiring members to purchase a "share." There are wine societies in the United Kingdom and Australia, although they operate in slightly different ways. They may not be as cheap as their more recent rivals, but have a much wider selection, particularly of high-quality wines, and often cellar old stock that may become available to members. (These should not be confused with the American Wine Society, which is an organization dedicated to consumer education.)

Auctions were first used to sell wine in the mid-eighteenth century, and carried on until the Second World War. The trend re-emerged in the 1960s, when Christie's appointed Master of Wine Michael Broadbent to head its wine auction department. Sotheby's, now with renowned MW Serena Sutcliffe in charge, followed suit, and both companies have extended their operations to the North American market. Internationally, it dominates the fine wine market, but the emergence of Winebid.com online may also become important. Regionally, other auctioneers can be influential, such as Langton's in Australia, whose "classification of distinguished Australian wine" is the nearest the country has to a system of classed growths. Auctions tend to sell only the highest quality wine, and can offer bargains, as well as provide a snapshot of how wine prices are moving. At this point, however, wine can become an investment rather just a drink.

The most recent development in the selling of wine has been on the Internet. A number of existing wine suppliers have developed web sites. Many producers are also offering their wines in this way, sometimes consolidating with their colleagues, as has happened with Australian Wine Online (www.winetitles.com.au). All countries where wine is sold now have at least one major online supplier who will deliver a wide range of wines to the door. These companies generally have a wider selection than the mail-order companies, plus easier access and often equally competitive prices. WinePlanet in Australia (www.wineplanet.com.au) and Chateau On Line in the United Kingdom (www.ChateauOnLine.co.uk) are examples. As more people become at ease with online buying, these companies may take over the bulk of non-supermarket retailing.


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