Came
across this interesting article on how Eaze (cannabis) and Drizzly (alcohol)
mobile delivery platforms navigated through the stringent regulation and
achieved relative success so far. Key takeaways are below and more
details can be found in this link: https://jilt.com/upsell/drizly-eaze-regulations/
·
Know
market regulations inside and out
·
Focus
on customer experience
·
Work
with knowledgeable partners (In Drizzly's case, Wine & Spirits
Wholesalers of America, an established distributor and also an early investor
in the business has helped the business work with the regulators and expand
nationally)
·
Build
compliant technologies (including ID check, payment)
·
Make
data-driven decisions
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ReplyDeleteI think perhaps the "move fast and break things" approach would work if Amazon had gone for it whole hog decades ago. At this point, Drizzly and others are taking the opposite approach: get buy-in from most likely tiers in the supply chain to block you (Wholesalers)- via public endorsements, direct investment, etc.
ReplyDeleteGreat find! Adding another viewpoint, I wonder if the first major success in mobile alcohol delivery will be a startup that follows Uber and Tesla's model of "moving fast and breaking things".
ReplyDeleteWith enough consumer traction and strategic political support, it may be possible for a wine delivery service to actually change some of the stringent regulations in the space. Of course, Amazon Wines in a less direct way attempted to do something like this - with unsuccessful results. That may signal that in the wine space, adherence to versus rebellion against regulation may be the key to success.
One of the major wine retailers may also be the one to usher in change. Whole Foods (before the Amazon acquisition) opened a wine store in NY that was shut down by the state liquor authority because it was deemed a part of the supermarket. Now that Amazon has acquired the chain, it will be interesting to see how they leverage it's licensing and scale to sell wine to the masses.