ONLINE WINE RETAILER SKIRTS CT SHIPPING LAW
The largest online wine retailer, wine.com, has gained the right to ship directly to Connecticut consumers by acquiring Chatham Spirits & Fine Wines of East Hampton. Terms were not disclosed.
Out-of-state retailers are currently unable to ship directly to Conn. consumers. However, wine.com was able to skirt around the law by purchasing an in-state retail shop, which will allow it to ship wine to Conn. residents from its new retail and warehouse location in East Hampton. Without a local facility, wine.com – along with other out-of-state and online retailers – would be kept out of Conn.
The acquisition builds on wine.com's national network of licensed retail centers, now operating in 10 states. Each center sources wine from in-state wholesalers and sells to in-state consumers. In some cases, a center is also legally permitted to sell and ship wine to other states. In all, wine.com ships to 25 states plus the District of Columbia.
"Of the top 17 wine consumption states, 12 can only be served with an in-state retail license and operation, sourcing from in-state wholesalers," said Mike Osborn, wine.com founder and vp of merchandising.
Why is this important to you? It’s likely that more and more wine retailers will eventually start opening shop in states that bar out-of-state retail shipments. In the meantime, trade associations such as the Specialty Wine Retailers Association (SWRA) are fighting for entry rights into states like Illinois, California and Texas without having to open a local shop. The SWRA says Granholm applies to retailers, not just wineries. As a result, they believe its discriminatory to allow in-state retailers to ship to consumers while barring out-of-state retailers from doing the same thing.
IN OTHER CONNECTICUT NEWS, the state has made a minor change to its direct wine shipping law. Wineries with a shipping permit will be able to ship up to five gallons to Conn. residents every two months versus the earlier 60-day limit. The new law will take effect Oct. 1.
Out-of-state retailers are currently unable to ship directly to Conn. consumers. However, wine.com was able to skirt around the law by purchasing an in-state retail shop, which will allow it to ship wine to Conn. residents from its new retail and warehouse location in East Hampton. Without a local facility, wine.com – along with other out-of-state and online retailers – would be kept out of Conn.
The acquisition builds on wine.com's national network of licensed retail centers, now operating in 10 states. Each center sources wine from in-state wholesalers and sells to in-state consumers. In some cases, a center is also legally permitted to sell and ship wine to other states. In all, wine.com ships to 25 states plus the District of Columbia.
"Of the top 17 wine consumption states, 12 can only be served with an in-state retail license and operation, sourcing from in-state wholesalers," said Mike Osborn, wine.com founder and vp of merchandising.
Why is this important to you? It’s likely that more and more wine retailers will eventually start opening shop in states that bar out-of-state retail shipments. In the meantime, trade associations such as the Specialty Wine Retailers Association (SWRA) are fighting for entry rights into states like Illinois, California and Texas without having to open a local shop. The SWRA says Granholm applies to retailers, not just wineries. As a result, they believe its discriminatory to allow in-state retailers to ship to consumers while barring out-of-state retailers from doing the same thing.
IN OTHER CONNECTICUT NEWS, the state has made a minor change to its direct wine shipping law. Wineries with a shipping permit will be able to ship up to five gallons to Conn. residents every two months versus the earlier 60-day limit. The new law will take effect Oct. 1.
posted at 1:29 PM
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