KDM
KDM Global Partners, LLC Newsletter Fall 2009
In This Issue
New 187ml Wine Product to be 'Game Changer' for Airline, Sports, Arena Food Service and Hotel/Resort Marketplace
Hotels/Resorts Finding that Wine Sales can be a Significant Profit Center
Retailers Admonished by Grant Thornton Report to Embrace Emerging Market Trends
Yes.. we worked over the Thanksgiving holiday!
Ripley and Romie
L-tryptophan, in substantial quantities, is a natural sedative. It is normally found in turkey meat, and many people believe it to be the cause of a sleepiness common after a Thanksgiving feast.
 
Ripley and Romeo, always eager to support the scientific community, took part in an important study this past Thursday evening involving canine ingestion of leftover turkey and the resultant onset of fatigue symptoms.
 
Their work was successful [see photo below] and we're all appreciative of this contribution. They are, after all, working dogs.


Ripley and Romy





"The restaurant world has returned to the art of hospitality. For owners, the low-hanging fruit of $500 bottles of wine has all but disappeared from the bottom line, but now new customers can have a crack at joining the most privileged group in a restaurant's data base: regulars. Use this time to become one - you might get a taste of a special before it's on the menu, a last-minute table, or an occasional gratis glass of wine we're trying out. Everyone is trying to develop new regulars where the Bernie Madoff clients used to sit."
-   Mario Batali
 
About KDM
KDM Global Partners, LLC is a wine producer and importer whose core business is creating and building new wine brands for its clientele of retail chains, restaurants, hotel/resorts, corporations, meetings/events - and individual brand owners.  

With corporate offices in Philadelphia, PA and wine-making capabilities throughout the world's great viticulture regions, KDM's turnkey brand-building capabilities are unparalleled: packaging design, regulatory approvals, warehousing and distribution (to all 50 states and overseas)...all varietals, price points, low case minimums. 

The world of wine production, distribution and sale is evolving quickly, creating compelling opportunities for businesses of all types.
 
We'll take you there. 
 
Learn more here: KDMGlobalPartners.com
 
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 New 187ml Wine Product is a "Game Changer" for Airlines, Sports Franchises, Arenas, Hotel/Resorts, Food Service Organizations and Retail Chains

KDM Global Partners' new combination 187ml PET plastic bottle and attached drinking glass will be a "game changer" for most on-premise businesses, including airlines, professional sports franchises, arenas, food service organizations and hotel/resorts.
 
Combining a stylish and contemporary feel, this single-serve unit offers convenience and freshness, together with inventory and freight efficiencies never before offered in the wine industry. http://bit.ly/28r8vD.

 
KDM 187
 
KDM has plans to introduce a broad market wine brand utilizing this compelling new packaging product in 2010. Watch for it!
 
For product information or for distribution inquiries: [email protected].

 
Hotels and Resorts Turning to Wine as a Significant Profit Center

Many believe that the hospitality industry is a bellwether of the overall economy - restaurant spending, hotel stays and discretionary travel are some of the first things to be sacrificed when people and businesses are uncertain about the future.  Thus, it is no surprise that on-premise wine sales are down, apparently a reflection both of fewer customers and smaller tabs.
 
For over a year now - and likely for the foreseeable future - the squeeze is on.
 
Hotels and resorts are battling back. They are discovering under-exploited - and painless - ways to locate hidden margin opportunities and profit centers to substitute for lost income - and to significantly improve the Food & Beverage operation's bottom line.http://bit.ly/kT5Ms.
 
One such opportunity is private label wine programs. For all aspects of a hotel/resort's wine sales (restaurant wine menu, wines-by-the-glass, catering, room service, meetings & events, pool beverage service), serving a proprietary "own brand" wine delivers multiple benefits while actually costing less than comparable 'national brands:'
  1. Increased profit margins on house pour
  2. Enhances the property's "branding"
  3. Differentiates from the competition - serve a wine that is only available at your establishment!
  4. Eliminates "sticker shock" by your restaurant patrons when they recognize a wine they are familiar with and have purchased at retail - and notice that the restaurant/hotel is charging 300% more (typical on-premise margin) ... 'Not a recommended way to enhance customer loyalty in a bad economy!
  5. Ideal for banquet pour and events.
  6. Various price points, varietals and packaging are available with private label programs.
 
Wine Glasses
 
These programs are not only effective "survival tools" for hotel Food & Beverage operations but are also expected to become program staples - even after the economy comes back. They are "no brainer" opportunities that are here to stay. http://bit.ly/5YkDfd.
Retailers Admonished by Grant
Thornton Report to Embrace
Emerging Market Trends


Black Elk
The recession-weary retail landscape will continue to have its casualties as we transition into the year 2010. Consumer spending is substantially down and, even where there appears to be a re-awakening of select market segments, consumers are focused on savings ...and that has an adverse impact on the performance of retailers.

Grant Thornton principal Scott Davis is advising retailers to take concrete steps such as assessing return on investment on all pricing and inventory, redesign of signage and point-of-sale (POS) displays and also exploring opportunity for private label (proprietary) products.
 
Consumers are growing increasingly fond of retailers' private label brands - instead of buying the heavily-promoted and ubiquitous "national brand."
 
No longer deemed to be "generic" and thus inferior, consumers now attribute the same brand characteristics to PL offerings as they do to any other product. Thus, retailers have the opportunity to offer PL products at various quality levels, price points and packaging styles. Not only do these products provide branding and differentiation to the retailer but the margins earned on these products are typically much higher than those earned on the ubiquitous national brands, where much of the available profit margin is eaten up by the producer's promotion and advertising budgets.

Lineup
 
Wine retailers are no different. The successful wine shops - including those that are surviving, even prospering during the recession, are those that have embraced private label. Larger retail chains (both wine shops and, where permitted by law, supermarkets, big box stores, club stores and convenience stores) often have multiple PL brand selections, different price tiers and varietal selections - each brand designed to cater to a particular customer demographic. http://tinyurl.com/ygc3vsd.