Wines & Vines Home
   
 
Welcome Guest
LOGIN |  CREATE ACCOUNT
 
ADVERTISEMENT
 
 
 
06.01.2009  
 

New Vine Logistics On Hold

Direct-shipping company suspends operations, seeks capital

 
by Jane Firstenfeld
 
 
Alternative text
 
In happier days, New Vine Logistics staff plucked wine from a well stocked Napa warehouse to ship to consumers in up to 44 states.
 

Napa, Calif. -- At a time when direct-to-consumer wine shipments are becoming both more essential and more feasible for wineries across the U.S., a pioneering fulfillment company abruptly suspended operations over the weekend. As reported in winebusiness.com this morning, Napa-based New Vine Logistics e-mailed some 200 clients to tell them it would no longer receive or process further orders for shipment and would shut down its electronic order process.

Founded in 2001 by Kathleen Hoertkorn and staffed by wine, technology and transportation veterans, New Vine developed proprietary fulfillment systems enabling it to ship wines to as many as 44 states in full compliance with shipping regulations.

The New Vine Logistics website did not yet refer to the suspension, and in fact, under "Events," had an item about an open house that was to be held late last week. It also showed an announcement, headlined "2009, Sell More Wine," affirming that New Vine would not raise shipping rates this year.

According to winebusiness.com, and confirmed by the company's voicemail, a skeleton crew remains at New Vine's Napa headquarters, including two executives, a chief operating officer and a vice president of sales and marketing. Wine Business also speculated that the suspension would delay the long-planned Amazonwine.com, in which New Vine had partnered with Amazon.com to launch a direct-to-consumer wine marketing program.

Jason Eckenroth, CEO of Colorado-based direct-shipping compliance powerhouse Ship Compliant, told Wines & Vines to expect further developments on the New Vine situation. He said this morning that the news was completely unexpected. "I think it took everybody by surprise," he commented. But despite the suspension of normal services, he said, New Vine Logistics is "not out of business. They are looking for more capital. It's not a dead horse."

Another company in the arena, WTN (wtnservices.com), operates warehouses and fulfillment centers in Albany, N.Y. as well as in Napa. In a statement, vice president/general manager Chris Edwards lamented, "As a founding employee (of New Vine) and friendly competitor, I personally am saddened by the loss of jobs that occurred at New Vine Logistics on Friday." WTN is owned by 1-800-Flowers.

In a subsequent statement issued June 2, Kathleen Hoertkorn said the company was working with customers to transfer services to another means of legal direct shipping, and was compiling reports, reconciling inventory and invoices, and performing necessary business operations for May and June.

See www.shipcompliant.com.

SHARE »
Close
LATEST READER COMMENTS
 
 
Posted on 06.02.2009 - 12:49:48 PST
 
Kathleen Hoertkorn, founder of New Vine Logistics, a Napa-based wine shipping and fulfillment company, and Chairman of the Board Homer Dunn's response about the suspension of business operations:
NVL is currently working with customers to transfer all services to another means of legal direct shipping, and in the meantime, is finalizing all work, including compiling of reports, reconciling inventory and invoices, and performing all of the necessary business operations for the months of May and June.
In response to comments that the company knew it was in financial trouble, Hoertkorn affirmed that they “truly believed that they would have been funded and were not expecting to have to cease operations.”
Hoertkorn stated that will keep winery customers, employees and shareholders advised of next steps. “Our employees and our customers are our top priority during this difficult time. We will work with our customers to make as smooth and expedient shipping transition as possible.”
 
CMilan
 
SF, CA USA
 
 
CURRENT NEWS INDEX »


 
Wines & Vines Home
 
866.453.9701 | 415.453.9700 | Fax: 415.453.2517
65 Mitchell Blvd., Ste. A San Rafael, CA 94903
info@winesandvines.com
Wine Industry Metrics
 
Off-Premise Sales » Month   12 Months  
August 2014 $558 million
5%
$7,613 million
6%
August 2013 $531 million $7,167 million
     
Direct-to-Consumer Shipments » Month   12 Months  
August 2014 $78 million
17%
$1,686 million
10%
August 2013 $67 million $1,530 million
     
Winery Job Index » Month   12 Months  
August 2014 218
12%
224
19%
August 2013 194 189
     
 
MORE » Released on 09.15.2014
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Practical Winery & Vineyard Library
 
Search the PWV archive »
 
 

Direct To Consumer
Wine Shipping Report
2014
 
Download full report »
 
 

CALENDAR
  • October 8
     
    Exporting Wine to China
     
  • October 10-13
     
    Celebration of Harvest Weekend in Santa Barbara
     
  • October 16-19
     
    Martha's Vineyard Food & Wine Festival
     
  • October 17-19
     
    Harvest Wine Weekend in Paso Robles
     
  • MORE »
 

READER COMMENTS
 
Article: Optimization of limited water resources in irrigated vineyards »
 
Very interesting article! Sap flow monitoring was in the past mostly used for research but...
Reader: Virginie Scoarnec
 
Article: New York OKs Out-of-State Grapes »
 
If the resultant wine, using out of state juice,bears the "American" on the label, I...
Reader: Guest
 
Article: Financial Impact of Napa Quake Rising »
 
I still think the numbers are low and don't include legal fees. Section 165 was...
Reader: Guest
 
Article: Tasting the Effects of Wine Closures »
 
In addition to oxidation of somee of the SO2, post-bottling chemical changes are a continuation...
Reader: Guest
 
Article: Tasting the Effects of Wine Closures »
 
I agree with the 14:46 post. I have switched to screwcap on most of my...
Reader: Chris Baker
 
 


Directory/Buyer's Guide — Your Wine Industry Marketplace
 
 
WINERY SEARCH
 
 
Advanced Search »
SUPPLIER SEARCH
   by Product
 by Company Name or Brand
 
Browse by Category »
2014 Directory/Buyer's Guide
The Wines & Vines Directory and Buyer's Guide
 
 
EXPANDED ONLINE SEARCH INCLUDED WITH PURCHASE
 
ORDER NOW »
 
LEARN MORE »
 
 
Wines & Vines Magazine
 
 
LEARN MORE »
 
SUBSCRIBE »
 
Digital Edition Now Available!
Wines & Vines Digital Edition Now Available
 
LEARN MORE »
 
ORDER NOW »
 
 
The Wines & Vines Online Marketing System
 
The Industry Standard winery marketing application
 
FREE LIVE DEMO »
 
VIEW VIDEO »
 
 
 
 
Latest Job Listings
 Graphic Designer / Sup...
 Somerville, MA
Sales and Marketing
 Cellar Worker Iii
 Yountville, CA
Winemaking and Production
 Servers & Sommeliers F...
 Napa, CA
DTC, Tasting Room and Retai
 Tasting Room Sales And...
 Sebastopol, CA
DTC, Tasting Room and Retai
 Team Member
 Healdsburg, CA
DTC, Tasting Room and Retai
 Tasting Room Ambassado...
 Sonoma, CA
DTC, Tasting Room and Retai
 Barback & Hospitality ...
 Sonoma, CA
DTC, Tasting Room and Retai
 Outreach & Communicati...
 Atascadero, CA
General Administration and
 Assistant Manager, Ret...
 Cupertino, CA
DTC, Tasting Room and Retai
 Shipping Clerk
 Milpitas, CA
General Administration and
 
More Job Listings >>
Follow Us On:
 
 





Home  |  About Us  |  Editors  |  Subscribe  |  Print Edition  |  Digital Edition

Advertise  |  Site Map  |  Contact Us  |  Privacy Policy
 
 
Copyright © 2001-2014 by Wine Communications Group, Inc. All Rights Reserved.
No material may be reproduced without written permission of the Publisher.
Wines&Vines does not assume any responsibility for any unsolicited manuscripts or materials.