These days, creating a bottle of fine cabernet is the easy partfor many small wineries. The hard part? Finding a way to get theirwines into consumers' glasses.
The problem, say many, is obscure laws dating back to theProhibition era that restrict wine and other alcoholic beveragesfrom entering states except through official channels such asprivate distributors or a government authority. In recent years, amajor consolidation of liquor distributors and retail channels hascaused the pipeline to consumers to shrink, squeezing smallwineries and wine retailers out. Seeing no other choice, some haveturned to direct shipping to reach customers.
"Small wineries and retailers see the existing wholesaledistribution network as anti-competitive and anti-consumer,"says Rich Cartiere, editor of Wine Business Publications inSonoma, California.
Yet with illegal shipments reaching a record $1 billion lastyear, says Cartiere, distributors and major wine retailers inseveral states are pressuring authorities to crack down. That'swhat happened in a Florida lawsuit filed in U.S. district courtrecently. Two of the seven small wine retailers named in the suithave already settled out of court. But others, like RonaldLoutherback, owner of three Wine Club premium wine shops throughoutCalifornia, aren't ready to give up so easily.
Loutherback has established a fund to fight the suit, calling onhis many business contacts and sending letters to catalog retailersand small wineries explaining his situation. So far, the responsehas been overwhelmingly supportive. Says Loutherback, "Mostare eager and are coming to me with support." -H.P.
No Reply
Government requests you can ignore
The envelope bears an ominous government logo. Inside you find aletter requesting you to submit your employment interview recordsfor 1987 through 1992 for all left-handed nonminority women betweenthe ages of 27 and 52. . . . Good grief! What will you do?
Possibly nothing, thanks to a little-known provision of thePaperwork Reduction Act of 1995 which states that if a federalagency's information request doesn't include a displayedcontrol number from the Office of Management and Budget (OMB), youcan safely toss it in the trash. The only exceptions are compulsoryrequests such as subpoenas and judicial decrees.
The OMB control number certifies that the government hasthoroughly investigated the situation and ascertained the need forthe information.
To check on an OMB status, contact the Office of Information andRegulatory Affairs at Room 350, Old Executive Office Bldg., 17thSt. and Pennsylvania Ave., Washington, DC 20503. -Cynthia E.Griffin
Eye On The Storm
Making sales . . . weather or not
Neither rain nor snow nor sleet nor hail keeps you from runningyour business, but they sure put a damper on sales at times,don't they? To prevent your store from overstocking umbrellasduring the next heat wave or scheduling outdoor promotionalactivities during a blizzard, Wayne, Pennsylvania-based StrategicWeather Services offers up to one-year-in-advance weather forecastscovering most of the United States as well as regions in Canada andEurope.
"[The weather] drives the way we live, work and thedecisions we make," says Frederic Fox, president of the6-year-old company, which charges businesses an annual fee of$10,000 to $100,000 for its consulting services. "What webring to the table is a very reliable picture of what thelong-range weather trends are going to be."
How reliable? Strategic Weather Services claims accuracy ratesof more than 60 percent and 70 percent, respectively, forprecipitation and temperature forecasts. Weather news is deliveredvia computer, telephone or printed reports. (No word on whetherEast Coast entrepreneurs need to pay extra for a sunnyday.)-Debra Phillips
