Beverage Dynamics is the largest national business magazine devoted exclusively to the needs of off-premise beverage alcohol retailers, from single liquor stores to big box chains, through coverage of the latest trends in wine, beer and spirits.
Issue link: http://read.dmtmag.com/i/82861
D&M's Unique Wine Club Focus U niquely focused wine clubs are also part of D&M's sales focus. The store offers a targeted selection of seven clubs, offering wine, Champagne and spirits in various categories. The bulk of these promote Récoltant Manipulant (RM or grower/producer) Champagnes. Politz notes that the RM trend is building steam as "people are moving away from sweeter cuvées." He added that these smaller producers also often offer better value and quality than some of the better-known Champagne houses as they don't invest in advertising. Almost all of the store's wine club selections fall in the trendy and cutting-edge category. More than 400 customers are part of the national "Champagne Society Club" and they receive one to three bottles every other month for a maximum of $120. These cycle through at least 150 different brands of Champagne, from the well- known houses to small, esoteric producers. Other clubs focus on Armagnac, Cognac and Calvados. The "Single Malt Connoisseurs' Club" provides members with one high-end, boutique Scotch a month. In July the shipment included a Clynelish 18 Year Old, 1993. There's also a design your own wine club, where members share information about their tastes and preferences and D&M creates special shipments for them. increasingly more into sales of boutique, grower Champagnes. "As the Champagne market evolved, we moved forward with grower and producer Champagnes," Politz notes referencing the trendy and distinctive small production Champagnes that are continuing to gain popularity in the U.S. market. Business Beyond the Bay Area D espite a solid local customer base, D&M's business is not exclusively local. "We ship all over the country," according to Politz. D&M also has a national and international, business clientele. The store has approximately 15,000 people on its mailing list. Half of the store's business is done out of state, hence Politz's focus on key New York, Chicago and Los Angles stores being major competitors. Internet sales are 10% of total business and the store ships to all states where it is legal. Politz believes his specialty focus on Champagne and notable spirits drives much of the out-of-state business. He adds that customers with a passion for these prod- ucts know where to look for them and reach out to D&M for their orders. Often, the end cost of purchasing and shipping them can even be less than purchasing them locally. He adds that word-of- mouth also helps him build his out-of-state business, and that if he cannot fulfill an order, he often refers business to other local retailers — like K&L — and that they often reciprocate. The store's deep selection includes many brands in top recent vintages and goes back to some of the best years of the 1980s. D&M also stocks more than 30 blanc de blancs and 30 blanc de noirs, priced from $30 to $100. Sparkling wines from all over the world — includ- ing Lambrusco, prosecco and cava — are also part of the lineup as is a solid selection of California sparkling wine. Large-format bottles are also an important part of the sales picture. Their impressive size and elegance has long made them a favorite of sophisticated wine buyers and those in the industry. Some of D&M's largest bot- tles hit the 15-liter mark and require two people to lift and pour them. These bottles are often featured at cus- tomers' weddings and anniversaries and can also substi- tute for a guestbook when signed. These hard-to-find, large formats always make a statement, notes Politz. He adds the store can barely stock enough of them from their Champagne producers. A Focus on Upscale Whiskies W ine drinkers have long been known to be Scotch and Bourbon fans and D&M strives to cater to all of its customers' interests. Brown goods can also have a special appeal for locals in some of San Francisco's more fog-bound months. The store carries more than 200 brands of Scotch, priced from $35 to $5,000. Last year D&M sold a 60- year-old Macallan, in a Lalique decanter, for $19,000. Politz's staff is still trying to source another one, as of yet without success. Top-selling brands include Glenrothes, Ardbeg and Bowmore. Bourbons and Ryes — priced from $20 to $160 — are also a key focus on the shelves and the store offers Beverage Dynamics • www.beveragedynamics.com • September/October 2012 • 39