Within the three-tier system that governs how alcohol is sold and distributed within the United States, importers are considered a type of supplier. As such, they are largely regulated like domestic producers, meaning they must distribute through wholesalers, who will sell to the retailers, where customers will finally be able to purchase the importer’s products. […]
The direct-to-consumer (DtC) shipping model is growing in popularity, as the DtC wine channel recently broke the $4 billion per year mark, and 92% of craft beer drinkers are looking to order their favorite brews to the front door. It’s no surprise that producers, retailers and other potential shippers are itching to meet the growing […]
Managing sales tax obligations can be complex in the direct-to-consumer (DtC) alcohol beverage shipping space. Luckily, Sovos ShipCompliant’s Alex Koral, regulatory general counsel, broke down key considerations in the recent Understanding Sales Tax for the DtC Shipper webinar. Here are highlights from the presentation to help you better understand the many nuances of this tricky […]
Beverage alcohol suppliers and producers selling in the United States typically must obtain Certificate of Label Approvals (COLAs) from the Alcohol and Tobacco Tax and Trade Bureau (TTB) before product distribution. This ensures that suppliers and producers are compliant with federal regulations regarding the design of their alcohol labels. (Additionally, most states have their own […]
On June 16, Alaska Governor Mike Dunleavy signed SB 9, an omnibus beverage alcohol bill that includes new provisions to regulate direct-to-consumer (DtC) shipping of alcohol in the state. As set out in SB 9, the new DtC shipping laws are set to take effect on January 1, 2024. While Alaska currently does allow for […]
It’s no secret that direct-to-consumer (DtC) shipping of alcohol is a valuable and growing market. Wineries, breweries, distilleries, and retailers alike have benefited from having direct access to consumers across the country. With consumer demand at an all-time high, it is understandable more alcohol sellers want to get into the DtC game as soon as […]
By Chloe Cristallini, Marketing Manager for Bloom Studio Recently, one of our webinar attendees asked, “What advice would you give someone who is first starting to sell alcohol DtC, or who wants to grow their DtC channel?” Buying a bottle of wine should be as easy for people as buying a pair of shoes. Other […]
Vino drinkers in 48 locales can get their favorite wines shipped direct-to-consumer (DtC) to their home, while beer and liquor aficionados only can have their top libations delivered in 12 and seven locations, respectively. These shipments must also be through a private carrier, as the United States Postal Service (USPS) is forbidden from delivering alcohol […]
Despite the broad interest among Americans for direct-to-consumer (DtC) shipping of beer and spirits, there is clear reluctance among state legislators to change laws to enable these sales. In California, the would-be DtC shipping expansion bill SB 620 was recently amended by the State Assembly in a way that will severely impair the ability of […]
When it comes to the three-tier system of beverage alcohol sales, there is perhaps no more important relationship than that between a beverage supplier and their distributors (also known as wholesalers). The support provided by distributors is invaluable in accessing a state’s market, from handling complex logistical arrangements to guiding a supplier on state laws […]
Have you ever wanted to order your favorite out-of-state liquor and get it shipped right to your front steps? The COVID-19 pandemic pushed consumers to rethink how they obtain the necessities and conveniences, but ordering distiller spirits for home delivery is not that easy, with only eight locales nationally permitting the direct-to-consumer (DtC) shipping of […]
Tax compliance can easily become an overlooked area as alcohol producers work on numerous aspects of their three-tier distribution compliance, including state license forms and brand registration requirements. For alcohol producers distributing in the three-tier system, excise tax determination and reporting is especially critical. Businesses must ensure they stay compliant as they scale into new […]
What’s the difference and why does it matter? Consumers may not care about the legal technicalities of how their favorite alcoholic beverages arrive at their front doors, but federal and state regulators absolutely do. Here’s a quick guide to what producers and retailers must know about direct-to-consumer (DtC) shipping versus local delivery of beverage alcohol. […]
In 2022, wine producers and wine consumers can enjoy unparalleled access to each other through the market for direct-to-consumer (DtC) shipping of wine. The current map for DtC wine shipping of 47 states and the District of Columbia, is thanks in no small part to vigorous lobbying and advocacy efforts over the past few decades, […]
For suppliers of beverage alcohol, one of the most critical steps in getting to market is ensuring that their product labels comply with all applicable federal and state laws. An alcohol label contains critical information identifying the contents and producers, and as such it is highly regulated with rules at both the federal and state […]
Direct-to-consumer (DtC) shipping is increasingly becoming a hot topic in the craft beer and spirits worlds, with both producers and consumers pushing for greater access. However, while 47 states and the District of Columbia allow wine to be shipped DtC, just six states and D.C. do so for spirits. Several states have bills that could […]
Brandy registrations see impressive 322% spike from Q4 2021 As spring and the warmer months inch closer, beverage alcohol brand registration patterns are also continuing to creep higher. The industry is perhaps gaining a better understanding of how to move forward in a marketplace working through a pandemic. There were increases in Product Registration Online […]
Sovos ShipCompliant’s Alex Koral, regulatory general counsel, invited Tom Wark, executive director of the National Association of Wine Retailers and author of the Fermentation Newsletter, for a conversation about the three-tier system’s role in the modern-day beverage alcohol regulatory landscape. Tom shares his take on how Prohibition may have initially shaped the approach to regulating […]