The world of craft beverages is booming, and independent producers are constantly seeking new distribution channels to reach a wider audience. However, presenting a craft brand to an experienced retailer can be a challenge.
In an interview with Park Street, Brett Pontani from Binnie’s Beverage Depot in Chicago, a family-owned chain with 71 years of history and 40 stores in the state of Illinois, shares three fundamental aspects that small producers should consider when presenting their products to retailers.
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Know the market thoroughly
Before presenting your product to a retailer, it’s crucial to research the market in which they operate. This includes:
- Local market analysis: not all markets are the same, even within the same city. Research consumption trends, best-selling products, and average prices in the area where the retailer is located.
- Store visit: physically visit the retailer’s stores to observe product placement, prices, and promotions. This will give you a clear idea of how your competition is positioned and what types of products consumers are looking for.
Pro Tip: For Toral Wines & Spirits, given the trend towards growth in liquors, we have developed a special line of wines aged in bourbon, rum, tequila, and buttery chardonnay barrels. Although there are brands with these developments, we have sought to differentiate ourselves based on the bottles and also the ability to produce exclusive brands for retailers with these products. The key is to offer a better margin and image than the benchmark product. At the same time, if exclusivity can be provided to that retailer in a region, even better.
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Demonstrate your business knowledge
Retailers appreciate suppliers who demonstrate a deep understanding of their business. To make a good impression, you should:
- Know your customer: show that you have thoroughly researched the company and understand its needs and goals. This research is invaluable as it allows you to grasp the retailer’s priorities and what might interest them. By showing that you have done this homework, you will be better prepared to explain why your product should be on their shelves.
- Tailor your proposal: customize your presentation according to the retailer’s profile. Retailers look for long-term partners who are willing to invest time and effort in developing their products. To convince them that you are the ideal partner, you need to build a strong brand, be specific, avoid generalizations, and provide concrete data about your product and marketing strategy.
Pro Tip: For the American market, we chose to start working with our 9 Fairway Island brand, as the American consumer is more accustomed to labels in English, and it’s important to adapt to this specific market opportunity.
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Show your track record and support plan
Finally, when meeting with a retail buyer, it’s essential to be prepared to discuss your track record and the steps you’ve taken to reach that meeting. Pontani emphasizes the importance of mastering your domestic market before expanding into other markets.
Present a strong story about how you have established your company, how you have increased your visibility, and what strategies you have implemented to position yourself in your local market. Additionally, it is crucial to explain how you plan to support your brand within the retailer, and what you are willing to do to be an active and valuable ally to their wholesalers.
Pro Tip: Success stories in retail in significant states in the USA are very helpful for presenting to other retailers within the USA or even abroad, such as in the Latin American market. A success story for us is the Casa Donoso line in Bourbon barrels and Buttery in Brazil.
Casa Donoso Bourbon Barrel Aged
A practical example of a brand that has followed these principles is Casa Donoso Bourbon Barrel Aged. This wine has captured the attention of consumers and retailers by combining winemaking tradition with innovation. Casa Donoso grapes are aged in bourbon barrels, adding complexity and a unique flavor profile that stands out in a saturated market.
Before entering the market, Casa Donoso established its reputation and refined its offering. The brand conducted an extensive local market study, identifying stores where its unique proposition could stand out. Additionally, it committed to working closely with retailers to support sales, increase visibility, and demand for the product.
To succeed in presenting your brand to a retailer, you must know the market thoroughly, demonstrate your business knowledge, and show your commitment to long-term success. By following these tips, you will increase your chances of securing a spot on the shelves of major stores.
Source: YouTube
