I hope you're enjoying the warm weather and are getting ready for some summer fun!
As some of you may know, most wine sold in the U.S. does not come straight from the wineries that make them. For many, this is surprising news since it's not a transparent process.
To be sold in stores and restaurants, wine must go through a sales process called the three-tier system; a structure created after Prohibition where winemakers must sell their wines to state distributors, who sell them to retailers, who then sell them to you. Each step creates a markup. Each step means less control for the winemaker.
And honestly... each step benefits the distributors and retailers far more than wineries and customers.
When we started Medly, we knew we wanted to do things differently. We said no to that system.
Three things are most are important to us:
1. Working only with estate winemakers we know and trust (multi-generation families in France and Italy).
2. Making 100% certified organic wines and avoiding the additives, sweeteners, and other shortcuts many big brands rely on.
3. Keeping the quality high and the price fair for our customers.
By selling direct-to-consumer (DTC) and cutting out the unnecessary mark ups, we're able to do those things that would not be possible in today's highly controlled retail space. Who controls all that retails space? The distributors and giant wine conglomerates do.
Did you know that over 80% of all wines on those long retail shelves come from 4 or 5 massive wine companies? Crazy right? Many are the same wines, packaged in different labels or brand names. Deception is big business.
DTC also means we get to have a direct relationship with you. No shelf talkers, no marketing gimmicks. And since there are no middlemen marking it up at each step (distributors and retailers each take a 40% markup!) we get to sell you 100% organic, naturally made wines at a price that would not be possible at retail. Just honest wine, straight from the source, at a fair price.
I wrote a blog post that breaks down the full story. If you're curious to learn more about how the three-tier system works, and how it benefits the middlemen more than you and I, we'd love for you to give it a read:
Thanks for being here and supporting a better way to drink wine.