Digital Wine Ventures (ASX: DW8) is a technology company evolving under start-up veteran, wine enthusiast and named one of the TOP 50 People in Ecommerce, CEO Mr Dean Taylor. The Company services the global beverage industry and has been making headlines off late for its cornerstone investment, WINEDEPOT, launched in September 2019.
A B2B marketplace providing an end-to-end supply chain solution, WINEDEPOT provides the wine industry with-
- An integrated trading and logistics solution,
- An order management solution,
- Aims to reduce administration and costs
At its launch itself, WINEDEPOT had more than 150 suppliers interested in utilizing the platform, and the number grew to 200 (as per DW8’s quarterly report) as on 30 September 2019.
Recently, on behalf of the paying customers, WINEDEPOT successfully processed the first surge of orders, indicating that revenue will start flowing in the current quarter, as per the previously suggested management expectations.
To know about WINEDEPOT’s revenue generation stream- READ HERE.
WINEDEPOT Embraces its First Spirits Customer- Vodka Plus
On 27 November 2019, DW8 announce that it has signed its first craft spirit customer, Vodka Plus, an emerging craft spirit wine producer. The move validates the scalability of DW8’s business model into other verticals. Moreover, with Vodka Plus on board, WINEDEPOT has entered into the spirits market, which has an addressable market valued at $5.3 billion per annum.
- Vodka Plus has appointed WINEDEPOT to handle their national distribution.
- WINEDEPOT announced that the Vodka+ range of premium vodka, soda mixers and ready to drink espresso martini blend will soon be available for delivery, in the upcoming festive season;
- Vodka+ Co-founder, Mr Marko Pavasovic, believes that WINEDEPOT will enable them to reach a wider customer base while retaining greater profit margins than through other distribution channels.
Though primary focus of WINEDEPOT platform is on wine, but the company explored that it is strategically placed for beers, craft spirits and ciders as well, which is lucrative too. This introduces a new market for DW8, that is swiftly growing though not currently served for. It also enhances the prospective addressable market of the WINEDEPOT platform.
Mr Taylor believes that WINEDEPOT gives emerging and new brands like Vodka+ the opportunity to connect with and deliver to their consumers in cost-effective and quick manner.
Vodka Plus’ Uniqueness
An accoladed and iconic Aussie owned and made vodka, Vodka+ is distilled with a unique blend of pure Tasmanian rainwater, the finest South Australian grapes and added Australian botanicals. It offers a smooth, crisp flavour and distinctive taste profile. A requirement in today’s contemporary world, it is free of gluten, lactose and sugar and is vegan vodka with zero chemical additives.
Co-founder of Vodka+ Mr Marko Pavasovic said that his company is excited to partner with DW8, a forward-thinking tech company, which is helping craft spirits producers to build and grow the DTC market in Australia.
Other Customers of WINEDEPOT
DW8 informed that several customers besides Vodka Plus (including both wineries and distributors) have started using the WINEDEPOT’s platform. The number has increased, especially ever since the platform onboarded Australia’s largest family-owned winery, most successful family-owned wine business and WINEDEPOT’s foundation customer- Casella Family Brands.
Mr Taylor is pleased with the number of customers that the business has acquired so far and acknowledges the fact that a launch before Christmas comes with its challenges. However, the number of customers pushing ahead and changing their network before the Christmas is a great evidence to the strength of DW8’s proposition which it provided the beverage and wine industry.
Few brands that have recently signed up to use the end-to-end supply fulfilment are:
- Josef Chromy;
- Primo Estate;
- Blackgate Estate;
- Hutton Vale Farm;
- Kismet Trading and
- Golding Wines
Piers Lewis’ Retirement
An important and recent Board update suggests that Mr Piers Lewis, DW8’s Non-Executive Chairman who joined in February 2017, has expressed his intent to retire at the conclusion of the Annual General Meeting on 29 November 2019.
Stock Performance on the ASX
After the close of trading hours on 27 November 2019, DW8 quoted $0.008, zoomed by 14.286% relative to its last close and stock has delivered 40.99% YTD and 17.49% in the last three months. On 28 November 2019, the stock is trading at $0.007 (AEST: 12:59pm)
With constant progress depicted in the last few weeks, Mr. Taylor has every reason to suspect that DW8 is in for a very busy 2020.
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