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September 22, 2008

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tom merle

Randy,

You've done a sterling job ferreting out the most likely states, based on the Supreme Court ruling. However....NVL has a highly oiled three tier system that satisfies state law where direct shipping per se is prohibited. So I would suspect that FL, NY, MI, CT, OH will probably be on the list.

TOM

Will Lynch

I own a wine shop in Texas and there are some Texas laws that will make it almost impossible for Amazon to sell in Texas.

Mike Duffy

Tom: (Randy?) I understand your point, but I was trying to reconcile the published number with what we know of state laws, the Supreme Court ruling, and NVL's published capability.

Will: I believe NVL works through the three-tier system in Texas. I have some friends that own a WineStyles in Fort Worth, so I completely understand your point.

Thank you both for taking the time to read and comment!

Scott

So sounds like you are on the NVL band wagon are you on their PR staff? Rumor is they have opportunities with getting wineries to participate in their 3 tier model and are muddying things up with the hype. Any thruth to that?

Mike Duffy

Actually, the reason I posted the release was to provide the Amazon contact information, which my winery readers have asked about.

I wouldn't say I'm on the bandwagon -- it's Amazon's choice. Note that New Vine Logistics (NVL) has a prior relationship to WineShopper.com, in which Amazon invested $30 million or so.

I think that NVL addresses a lot of issues which Amazon would have to contend with on their own. Initially, I believed that Amazon would do wine fulfillment in-house, but I think they were able to negotiate a deal with NVL which changed the "make or buy" decision for them. Right now, they're buying services from NVL, which makes it easy to back out (I'd bet the contact is written this way). If wine is a successful marketplace for Amazon, they might well purchase NVL at some future point (or otherwise revisit the make-buy decision).

I don't have any direct experience with NVL (and I don't think very much of their Web site, as far as making it easy to get information). I do know that Inertia Beverages (who I respect) uses The Wine Tasting Network (WTN) and Copper Mountain Logistics for fulfillment. So there are alternatives to NVL out there.

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