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How to Balance your Inventory
Excerpt from The Art & Science of Wine Retail
Product differentiation, by itself, doesn't sell your product - it simply reduces your amount of at-risk inventory, and strengthens your bottom line. Knowing the markets of your wines and maintaining inventory balance go hand-in-hand.
For example, if you sell an average of twelve to fifteen bottles of premier cru white burgundy per year, remember this when the distributor wants you to purchase a case of Meursault-Charmes. Given your current stock of twelve bottles, it will probably take you a couple of years to sell this wine. It's simply not worth tying up that amount of cash, especially on a single label...
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