DW8 To Capture A Slice Of The $14.5B Plus Alcohol Market (2017)
http://www.roymorgan.com/findings/7181-liquor-retail-australia-201703201051
Taylor says this market is fragmented lots of small players where the industry is ready for consolidation and reinvention with digital transformation. His business model is to change the supply chain.
My research has revealed approximately 30% of annual sales currently goes to logistics and distributors expenses.
30% of annual sales is around or close to $4.35B
If Wine Depots business model is to reduce these cost where it puts money in the pockets of the wineries and the retailers surely it is a no brainer when it adds profits to their bottom line.
If Wine Depot can capture only 5% of this $4.35B that will mean revenues to DW8 of $220,000,000 in Australia alone and in turn pass on the huge cost savings to retailers and wineries.
Capturing 10% of the market is $440,000,000 in revenue and 15% $660,000,000. Now that is BIG dollars to DW8 and BIG dollars back to the wineries and retailers
Then add China in to the equation
IMO BIG upside