Wines & Vines

July 2012 Technology Issue

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METRICS The Flash Report FLASH SITES COMPARED FOR MAY Flash Reseller Cinderella Wine Invino Last Bottle Wines Last Call Wines Lot18 Wine Spies Wine Woot Wines Til Sold Out WineShopper 8 92 8 59 34 27 28 67 21 No. of Domestic Average Flash May Offers Price (750ml) $27.31 $42.09 $33.25 $28.18 $32.16 $26.73 $19.92 $21.14 $20.84 Average Pageviews* Discount 41% 44% 47% 35% 33% 26% 37% 53% 39% (000) 15 251 32 65 976 11 586 239 290 Source: WinesVinesDATA, winesandvines.com/flash *Source: Compete.com, Apr 2012 350 300 250 200 150 100 50 0 2011 233 224 139 111 102 239 169 Unique U.S. Wineries With Offers 2012 260 258 243 245 242 Complete flash data available to subscribers: winesandvines.com/flash More U.S. wineries enter Flash market At the start of 2012, the flash market saw a 41% increase in the number of wineries selling their wares online. During the first five months of 2012, major flash sites not only offered more wine, they sold wine from of a more diverse group of wineries. The growth reflects more wineries—especially mid-sized California wineries—taking their products online. In January and February 2012 flash sites posted twice the num- ber of offers from unique wineries as during the same period pre- vious year. In other flash news, the site Lot 18 announced that it trimmed 11 staff members and is phasing out its offers of high-end food products to focus exclusively on wine sales. —Andrew Adams January 2011 through May 2012 313 270 234 265 250 Jan Feb Mar Apr Source: WinesVinesDATA, winesandvines.com/flash FLASH DISCOUNTS FOR A SAMPLE OF CALIFORNIA RED BLENDS OFFERED IN MAY Discount Winery/Brand Region/ Vineyard 19% Heibel Ranch Vineyards Napa Valley 33% Used Automobile Parts (Don Sebastiani & Sons) 33% J C Cellars 35% Quintessa Vineyards 36% Vina Robles, Inc. 51% Pope Valley Winery 60% Jankris 64% Havens Winery Source: WinesVinesDATA LEADING FLASH SITES Company Name URL Cinderella Wine Invino Last Bottle Wines Last Call Wines Lot18 The Wine Spies Wine Woot Wines Til Sold Out WineShopper cinderellawine.com invino.com lastbottlewines.com lastcallwines.com lot18.com thewinespies.com wine.woot.com winestilsoldout.com wineshopper.com 12 WINES & VINES JULY 2012 Principals Gary Vaynerchuk Tony and Danielle Westfall Cory Wagner Merchants (BP Wine) Michael Rockower Philip James, Kevin Fortuna Jason Seeber, Brandon Stauber David and George Studdert Joe Arking Source: WinesVinesDATA, winesandvines.com/flash Affiliation Wine Library Good Company Wines Blicker Pierce Wagner Wine Operation Releases one wine at noon and one at 9 p.m. M-F. Buys only from distributors. Offers two to four new wines daily for 48-72 hours, or until the wine is sold out. Offers one wine until sold out. Canals Hamilton Wine Store, N.J. Offers four to six wines per day, available until sold out. Advertising platform for wineries to sell directly to consumers. Sells one wine each day, 365 days per year. Amazon Roger Wilco (liquor store) Rich Bergsund, Mike Osborn Wine.com One deal daily M-F. Emphasizes interactivity. Winery controls price. Sells one wine at a time from midnight EST until sold out. One new event per day, with one to five products. Sonoma Varietal Vintage Winery Retail Blend - Red 2008 Blend - Red 2005 Russian River Valley Blend - Red 2009 Napa Valley Paso Robles Napa Valley Paso Robles Napa Valley Flash Winery Size Flash Site Price In Cases $37.00 $29.99 Blend - Red 2008 $200.00 $129.99 Blend - Red 2007 Blend - Red 2010 Blend - Red 2005 Blend - Red 2009 $39.00 $24.99 $35.00 $16.99 $18.96 $7.50 $50.00 $17.99 500 Cellar Angels $50.00 $33.33 1,300,000 Wine Woot $35.00 $23.33 5,000 Winestyr 7,000 Last Call Wines 25,000 Lot18 5,000 Wines Til Sold Out 28,000 Wine Woot 5,000 Wines Til Sold Out May Jun Jul Aug Sep Oct Nov Dec Unique Wineries

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