Diverse, region-specific legislation has made it difficult for the wine industry to capitalise on the promise of e-Commerce, but could that be set to change?



“The wine industry is tremendously fragmented and insular,” suggests digital wine marketer, Paul Mabray, to Think Wine Marketing. "It also suffers from one of the most antiquated, regulated and complicated distribution paradigms. It is an extremely long tail product with approximately 250,000 individual SKUs entering the market annually, with many remaining in the market from 3-10 years.



“Plus there has been a tremendous proliferation of brands with ever decreasing market access through traditional distribution channels. Mix this with technology and you have a lot of complicated puzzle pieces to cobble together to help make a frictionless transaction occur.”



The e-Commerce wine model eventually proved too difficult for Amazon.com, who spent over a decade trying to ignite the online wine market in the United States. Diverse, region-specific legislation, regarding the purchase and delivery of alcohol, has made it far more difficult for the wine industry to capitalise on the promise of e-Commerce, than it has been for purveyors of fashion, travel and luxury goods.

Sophie Doran Every day, thousands of leading luxury professionals from over 150 countries log on to Luxury Society, a private online business network designed to connect, inform and inspire. Members are able to forge valuable relationships, keep abreast of the industry's latest developments and discover innovative strategies and career opportunities, while maintaining the privacy and discretion that they dema...(Read More)