If you’re hankering for a crisp glass of rose after work, you can now get the bottle delivered straight to your doorstep, thanks to Digital Wine and AusPost.
The online wine distributor has paired up with Australia Post to provide same-day delivery for wine lovers. The service, which is intended to streamline warehousing, ordering, processing and delivery for the new wine service, WineDepot, will keep its inventory in four warehouses across the country, including Melbourne, Sydney, Brisbane and Perth.
This initiative isn’t just a win for wine-loving consumers, but it’s also a win for the retailer itself. The delivery process is said to lower costs of freight, cut down on delivery time and prevent the risk of bottle breakage. “Each depot will hold a very broad range of suppliers’ inventory on consignment, which can be accessed by a range of sales channels,” explained Digital Wine’s CEO, Dean Taylor.
Another win is handed to those who live in regional areas, and are typically unable to have wine delivered to their doorsteps, as they live too far from metro delivery regulations. “As wine is heavy, bulky and fragile, shipping one case at a time from regional areas to consumers in major cities drives higher costs and increases risk of damage to consumer product,” explained Australia Post’s Head of Growth Products, Paul Hersbach. This venture is also set to help wine businesses who struggle reaching non-metro areas.
“Our partnership with WineDepot provides the wine industry with a specialised distribution service that will not only save money but also improve the consumer delivery experience.”
Australia Post will be providing the warehouse, staffing, IT systems and infrastructure. Moreover, AusPost will also be directly flowing the orders through its system, which removes the need for product collection, transfers and sorting.
This new service is in tune with the ever-growing demand that the likes of Amazon offer to consumers, as well as give the wine industry a thorough shakeup for delivery services. “With the arrival of Amazon, every Australian consumer will soon expect fast and free delivery. Any business not offering the same will simply lose market share,” said Mr Taylor.
Orders will be replenished automatically on a bi-weekly basis, taken from WineDepot’s regional bulk storage facilities. “As orders are processed through our platform, they are routed to the depot closest to the delivery address where they are picked, packed by bottle or case, and drop-shipped to the end customer,” explained Mr Taylor.
The wine industry in Australia is said to produce around $6 billion worth of wine every year. In comparison to the rest of the world, the country seems to fall behind, as the global value is in excess of $300 billion. This venture between WineDepit and AusPost is set to expand the wine industry even further in the country.
This collaboration is secured for the first five years, with a 12-month contract for the warehouses throughout the four Aussie states. The depots are expected to commence by the end of 2019, which is sooner than Mr Taylor expected. “That’s a massive saving in both time and capital expenditure that will allow us to start looking at ways to expand the platform into other markets such as China, UK, Singapore, New Zealand and USA as early as next year,” he said.
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