Delivery giant UPS expands direct to consumer wine service

US delivery giant UPS has announced its intention to expand its wine, spirit and beer shipping service worldwide.

 This will enable consumers to order wine directly from the vineyard and receive it within three days, although delivery time depends on location.

 “Direct to consumer wine shipments are experiencing phenomenal growth around the world,” claimed David Rosenberg, UPS international marketing manager.

 As a result UPS has expanded its services to an additional 36 countries, "with more in the works". 

The service is now up and running, reaching 24 of the top 35 wine importing countries, added Rosenber. The company’s main focus is currently Europe, where the service is available in 23 countries including the UK, France, Switzerland and Belgium.

 Asia is its second most important destination, where 11 countires are able to access the service, including mainland China, Hong Kong and Japan.

 According to the International Organisation of Vine and Wine, 43% of all wine is consumed outside the country of its origin.

 In the US, direct-to-consumer and cross border shipping has been fraught with disputes between wineries, distributors and retailers.

 US wineries shipped 17% more wine direct to drinkers in 2016 compared to 2015, according to a report published earlier this year by Wines & Vines in collaboration with Sovos ShipCompliant.

 However, direct to consumer sales still only accounted for 8.6% of the total US retail market for wine last year, and that doesn’t include on-trade sales.

 Of the wines ordered, a disproportionate number of consumers amount of was bought Pinot Noir direct from the winery. Pinot accounted for nearly a quarter of orders, double its market share in the total US wine retail market, excluding bars and restaurants.

 Zinfandel made up 9% of orders, but barely figures in the overall US retail market.