KDM Global Partners, LLC Newsletter XVI
In This Issue
KDM Adds Direct Shipping Facility for its Private Label Wine Programs
Black Elk Earns Two (2) Bronze Medals at Wine Competition
The Restaurant Business is Looking Up
 An Ode to
  Cao de Agua
In addition to being great pets and amazing companions, the Portuguese Water Dog has been known for centuries as a working dog. Referred to as the Cao de Agua (dog of water) along Portugal's coast, Porties were bred to accompany fisherman on their boats - to retrieve broken nets, dive for fish, carry messages between boats and to shore, as well as guard the boat in foreign ports. 


Here in America, Porties have evolved beyond their status as mere 'working dogs.' Some play basketball: http://bit.ly/NMkgm9.  Others are training to sing:  http://bit.ly/rTVEL. A few have even been known as great skateboarders:  http://bit.ly/13032j. And, of course, many of them still channel their European ancestors and prefer water sports like pool relay races:  http://bit.ly/GGDdo  and diving for rocks:  http://bit.ly/u1HMd.     


Portuguese Water Dog puppies are insanely cute:  http://bit.ly/ZCRpW and   http://bit.ly/1aSeOf.


Like the others, Ripley and Romie love the ocean and are both accomplished ball players. More than anything else, though, they enjoy most is hanging out with family, taking up most of the available space on a king-sized bed, sharing some pizza crust with friends or family - and each other. 





- About KDM -

KDM logo


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 premier 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. 

And now...direct shipment to retail wine customers, where permitted by law.


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:


Let us hear from you!

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"Wine improves with age. The older I get, the better I like it."
 ~ Anonymous 

 "Wine is inspiring and adds greatly to the joy of living." 
~ Napoleon 

 "Give me wine to wash me clean of the weather-stains of care." 
~ Ralph Waldo Emerson

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  • Issue 1
  • KDM Adds 


    Direct Shipping Facility

    For its 

    Private Label Wine Programs

    One of the fastest-growing areas of wine distribution in the United States is direct-to-consumer shipment.


    While most states regulate wine sales under a three-tier distribution system (i.e., the winery sells to a licensed state wholesaler, the wholesaler then sells to a licensed retail store or restaurant and the store/restaurant then sells to the consumer), a body of law is evolving that allows the sale, by the winery or producer, directly to the consumer.


    While this type of direct sale does not replace the traditional bricks and mortar distribution system, it adds an alternative avenue of distribution which offer attractive advantages for many wine brands.



    This Direct-to-Consumer sales channel is set to drive the growth of wine consumption over the next 10 years.


    KDM Global Partners now has the infrastructure to provide this capability for all of its private label brand clients. This Web-based e-commerce platform enables direct shipment of the client's wines to customers in approximately 32 states, where permitted by law. It contains tools that enable the client to sell wine within its own existing Web environment, linking to a KDM partner's fulfillment warehouse (in California). As sales are transacted over the Web, each transaction is seamlessly directed to the warehouse, which then drop ships the wines to each customer. This e-commerce engine also maintains a 24/7 accounting of sales, shipments and depletions - as well as an ongoing regulatory overview of all transactions.


    According to a recent Wine Intelligence study, approximately 30 million American wine drinkers have purchased wine directly - from winery tasting rooms, from online wine retailers or through a mail order wine club - since the fall of 2011.The main growth in this segment is expected to come from a growing habit of purchasing wine online and from younger, more engaged (and Web-savvy) wine drinkers - "Millenials" - for whom ecommerce is already second nature.


    Whether the wine brand is a large, national retail chain wishing to add a lucrative Direct Shipment capability to its existing bricks-and-mortar sales program - or if the brand is new and wants perhaps only to sell over the Web (a boutique brand), KDM can facilitate this new, compelling revenue opportunity: http://www.kdmglobalpartners.com/direct-to-consumer.


    For information about this program: [email protected].



    Black Elk Earns 

    Two Bronze Medals

    At Wine Competition 


    KDM's own Black Elk import brand was the recipient of two Bronze Medals at the 2012 NextGen Wine Competition this past summer. 


    Produced by Vineyard & Winery Management, the NextGen Competition is one of the fastest growing and most exciting wine competitions in North America today...and gaining a strong following by retailers based on its emphasis on the coveted Millennial consumer group.


    The Black Elk Shiraz and Black Elk Moscato earned Bronze Medals in each of their categories.




    For the recently-launched Black Elk Moscato, especially, receiving such a prestigious award so early-on was very gratifying.


    Black Elk program is a line of premium varietal wines, from different world wine growing regions - all packaged under the same Black Elk brand moniker...an "All-Star Lineup". 


    More information is also available at the Black Elk Web site:  www.BlackElkWine.com  (and in the previous newsletter: http://www.kdmglobalpartners.com/newsletter-xv.


    For information about availability of the new Black Elk Moscato or the Black Elk wine lineup, contact  [email protected]



    The Restaurant Business 

    is Looking Up



    Despite all the discouraging news during the past few years, the state of the restaurant industry is not quite as grim as it may sound. While rising costs for food and fuel have dominated headlines, weighing heavily on the minds of restaurant operators, things are trending positive.


    Consumers are Coming Back to Restaurants


    There is no "new normal" of dining out less. To the contrary, people want to return as quickly as their pocketbooks will permit to the days of dining out more. As the economy improves, so will restaurant traffic. Dining out is seen as both entertainment and convenience - both of value to consumers and these numbers will improve as incomes begin to rise again.


    Restaurants can Work Around

     Inflated Commodity Costs


    Many restaurants have found a way to navigate rising food costs without making steep price increases. Operators have focused on cost-saving initiatives, menu engineering and efficient purchasing. Also, compelling new margin opportunities exist for restaurant operators, such as serving their own custom-label wines (see "Opportunities for Growth" below).


    Consumers are Still Spending


    Higher gas prices haven't hurt consumer spending dramatically, thanks to an improving employment picture and a payroll tax cut that begin earlier this year. Gas prices have also stabilized as the summer travel season gets underway.


    There are Still Opportunities for Growth


    Despite all the clamor during the recession that the US restaurant field was over-saturated, some operators are experiencing rapid growth. For others restaurants, there are pockets of under-exploited income-generating opportunities right under their noses - - most notably in their wine category.




    Rather than serving the ubiquitous "national wine brand," a restaurant can have its own brand (private label) of wine to serve to customers. 


    The four (4) chief reasons why custom label wines are critically important to restaurants:




    The first key fact about proprietary label wines is that a restaurant gets a "better bang for its purchasing buck." Better wine at a lesser price...plain and simple.


    With the "national brands," the delivered case price will always include your pro-rata share of their (huge) advertising and promotional budgets, as well as the incentives they provide the distributors to get your restaurant to carry it on your menu! Not that there's anything wrong with the juice - but you're probably paying more than it's worth.


    Your "house brand" wine will likely cost much less on a per-bottle basis, be much better wine (at any price point) ... and earn you better margins!


    This is the case whether you're pouring wine-by-the-glass or bottle sales.




    The data tells us that wine has now eclipsed beer in popularity (sales) throughout the US. People are increasingly turning to wine as their recreational beverage of choice; accordingly, consumers are learning more about wine and are becoming more sophisticated shoppers. Restaurant customers are therefore much more familiar with retail wine prices than before. When they see a wine on the menu that they've tried before, they will also likely know the price at the wine shop down the street from the restaurant! Since restaurants often charge more than the wine shop, this can cause dissonance with the customer. No restaurant wants to risk customer loyalty over this! When a restaurant serves its own PL wine, that wine is ONLY available at the restaurant. Thus, the price is the price - it can't be compared to the price at the retail wine shop, or on the Web! Everyone is happy.


    3. BRANDING !


    Nothing breeds customer loyalty better than a house wine that is enjoyed by everyone ... and is only available at the restaurant. Repeat business is the hallmark of a successful eatery. What better way to bring them back than pouring your "own" wine, where that wine is ONLY available at your establishment?


    Design some compelling wine labels that stand out beautifully at the restaurant. Leave them on the tables, at the bar and decorate with them! The restaurant's own brand will be substantially enhanced by the existence of your proprietary wines and add a touch of elegance and originality to the dining experience.


    Your restaurant's logo will be cemented in the minds of your customers. Business is all about branding now. Do what you can to build your restaurant's brand.




    The result of a private label program is that a restaurant's upfront investment in a custom

    wine program is now similar to what it would have been in its wine menu, generally! But the difference for the restaurant is enormous - better margins, better branding and happier customers.


    More info:  http://bit.ly/kT5Ms