Winebusiness.com - Homepage for the Wine Industry

Amazon Puts Wine Program on Hold


Date: 10/22/09

Amazon.com, considered the world’s largest online retailer, may be bailing on its wine program, which never really got going, winebusiness.com has learned. After some two years of preparation, Amazon.com appears to be pulling the plug. In an email communication sent to wineries today, senior account manager Dini Rao said the company recently decided “not to resume shipping.”

“As you know, we were excited to work with you to build the AmazonWine business, Rao said in an email that went to winery partners. “For that reason, this was a very tough choice for us. “Many of you took the time and leap of faith to really support us.”

Amazon had been working on a wine launch and had at one point inked a deal to use New Vine Logistics of American Canyon, California to fulfill orders. The plan was to create a consignment system, where wineries earned 47 percent of the retail price for wine when sold.

According to industry sources, the logistics of launching the system turned out to be a regulatory headache that was difficult to overcome, an issue that was illustrated last summer when the California Department of Alcoholic Beverage Control issued an industry advisory raising concerns about online wine sales going through “unlicensed third party service providers” –websites where consumers can buy wine through a third party.

We will have more details as they become available.

Subscribe to Daily news Email

FREE Wine Business Daily News delivers the industry's top stories emailed to you from our editorial team.

most popular daily news links

latest winejobs

- winejobs.com  •  yesterday at 1:55PM PDT
- winejobs.com  •  yesterday at 12:04PM PDT
- winejobs.com  •  Sep 12, 2014 at 7:48PM PDT
- winejobs.com  •  Sep 12, 2014 at 4:59PM PDT

latest used barrels

- used barrels  •  Sep 12, 2014 at 9:34AM PDT
- used barrels  •  Sep 10, 2014 at 3:32PM PDT
- used barrels  •  Sep 10, 2014 at 1:26PM PDT
- used barrels  •  Sep 10, 2014 at 1:26PM PDT
- used barrels  •  Sep 9, 2014 at 2:43PM PDT

industry events

Search Events:

Copyright© 1994-2014 by Wine Communications Group. All Rights Reserved. Copyright protection extends to all written material, graphics, backgrounds and layouts. None of this material may be reproduced for any reason without written permission of the Publisher. Wine Business Insider, Wine Business Monthly, Grower & Cellar News and Wine Market News are all trademarks of Wine Communications Group and will be protected to the fullest extent of the law.