I am working with some wineries in Spain who are discussing forming a US-based entity to import their wines to the US. Distribution is anticipated in CA/Eastern Seaboard/FLA/IL/TX. With that “shotgun”, the question becomes where to locate warehouse, with considerations to proximity to POE and distribution logistics. Under discussion are Houston/Galveston and Miami. If anybody has any thoughts, opinions or experience, it would be much appreciated. Cheers.
It’s a long way to everywhere from Miami. Expect significant air conditioning bill for either
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I would most likely pick chicago. When I say chicago I mean that area. Someone would have to see where reasonable space is available. Good hub. In addition there is a large population in the event the competition from the other large hubs eats into customer base you have a large local base of drinkers. Good international air facilities… Lots to do in the city.
Weather for all year round shipping may be a problem, not sure.
Next maybe Kansas City. area central location. Good steak houses. Not familiar with travel in and out.
Just suggestions.
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Memphis is decent and cheap.
You can use UPS / FedEx and truck LTL
New Orleans or Mobile as POE?
Pennsylvania has a strong manufacturing industry because of its ability to get to over half of the US population within 12 hours of trucking the goods. This doesnt solve the California issue but it would easily reach the entire east coast and all the way to chicago within about a 12 hour drive. You may need 2 distribution areas. West and east.
Depends on a lot of factors. I’d say you need to factor in having an employee or contact close to wherever you choose. Being able to verify conditions is crucial.
Have you considered using the services of a logistics partner like Alba? I use them to import wine from Spain in NY/NJ and it’s a seamless service door to door. In addition to warehousing they provide distribution with a fleet of trucks.
Thank you!
I think the “where” is less relevant than you might think.
I would pick somewhere that is cost favorable, but wine is easily moved around on pallets by Advantage for very little cost.
Companies like Western Carriers are bi-coastal, and used by the large US importers, effectively as an RDC.
have you found a solution here? If not, we can help. We have warehousing, logistics, import and e-commerce capabilities for import brands
Yes, thank you. However, if you’d care to send me further information regarding services, pricing, etc., I will gladly keep it on file. Cheers, Ari
It sounds like you have not imported or distributed before. There are companies that warehouse and deliver for small importer/distributors. It’s generally much less capital intensive and likely to reduce headaches to go this route.
As an aside, I think you’ll find FLA a very brutal market in the face of demand combined with Southern strength if you going to try to distribute independently.