Top Tier
A favorite demon in the wine trade today is the much-maligned three-tier system. Wholesalers are reviled and blamed for all winery distribution woes. Needless to say, three-tier distribution laws are a mess — fifty messes to be exact. This cesspool of regulations has been created by the beverage alcohol industry, with large wine, beer, and spirits producers matching national mega-distributors in their zeal to pump money into the pockets of state legislators, who are more than easily enticed into cooperation by their largesse. State liquor laws may pretend to protect consumers, but their main function is to protect the big distribution companies — who get what they pay for.
In years past, I had the misfortune to attend the annual convention of the Wine and Spirits Wholesalers of America (WSWA) and a sleazier event you are unlikely to attend. It was a concentrated incarnation of every stereotype of big, alcohol-driven conventions that you’ve ever heard. Here the mega-alcohol producers party with the mega-distributors. One thing I quickly learned is that the WSWA has nothing to do with the fine wine business. But it is a convention of those that make the rules of the three-tier system and they will do anything and pay politicians anything to protect their power and profits. It was not a coincidence that many of the attendees at WSWA dressed like cast members of The Godfather.
Fortunately, there is a hidden tier in the three-tier system and you won’t find them at WSWA. Under the radar of the WSWA and the mega-alcohol producers is a community of distributors who care as much about the wine they sell as we care about making it. They are the top tier and small wineries could not get their wines to market without them. These small to medium-sized distribution companies are populated with foodies and restaurant industry refugees — many with Court of Master Sommeliers and WSET certifications. Most of all they love wines with personality and individuality made with intentionality. While the big companies move boxes of beverage alcohol, these smaller companies sell not just wine, but the passion they share with the winemaker. They have a real story to tell — including their own.
Troon Vineyard is a small winery crafting limited production wines and our wines go in and out of stock and change with the character of each vintage. Our wines are more an irritation than a brand to big distributors. Fortunately, what is irritating to big distributors is inspiring to the smaller ones.
Despite all the aggravations of dealing with state laws one market at a time, the three-tier system would exist with or without the regulations. I will say it would be helpful if the regulations themselves were not so arbitrary and pointless wastes of time. The only way we, as a small winery, can connect with the restaurants and retailers who want to sell biodynamic wines is by working with a sales team that wants to do the same. We would work with these companies with or without the various state laws. We work with them as partners, not burdens imposed by state laws.
Troon Vineyard is a niche brand, selling to niche distributors that sell to a niche customer list. It’s a niche we share with these like-minded wine professionals. It’s a good niche to be in.