Knowledge Base

Ask the Collective

The questions independent drinks founders ask most — answered. Distilled from years of community knowledge so the good stuff never disappears in the feed again.

Route to Market11 discussions

What are the realistic pros and cons of selling spirits and beverages on Amazon?

Amazon makes your brand available to a huge customer base and can offer cheaper shipping than managing your own 3PL, but profitability is challenging and requires significant sustained spend on advertising and promotions. Members have learned hard lessons about the platform's dynamics. **Pros:** - **Wide reach** — puts your brand in front of millions of potential customers automatically - **Shipping economics** — can be cheaper than managing your own third-party logistics for individual orders - **Organic traffic from external brand-building** — members report that investing in consumer awareness outside Amazon (direct marketing, PR, social) drives profitable organic sales *on* Amazon without needing to throw cash at Amazon's own ad platform **Cons:** - **High advertising costs required** — you must spend heavily on Amazon's promotional tools and media to achieve meaningful volume; members report struggling to make Amazon profitable even with ad investment - **Amazon holds all the cards** — the platform controls pricing, visibility, fees, and policies in ways that can surprise you after launch; members describe "some you didn't know existed before you started" - **Very tricky unit economics** — multiple members noted they've never been able to make Amazon profitable and have actually pulled advertising spend entirely - **Brand values misalignment** — Amazon's working practices can clash with independent drinks brands' values **Key strategy:** The one member reporting strong Amazon profitability said their biggest win was **building direct consumer brand awareness away from the platform**, which then organically drove profitable sales on Amazon without relying on Amazon's own ads. This approach also builds a direct customer relationship outside the platform. Members emphasise that Amazon is a big customer for many (hard to ignore) but universally describe it as tricky to make work profitably. Several have formed a discussion group to share learnings and mistakes to avoid.

#amazon#ecommerce#sales-strategy#channel-strategy
Route to Market4 discussions

Which cash and carry distributors work well for premium spirits brands, and what volumes can you realistically achieve?

Members recommend working with major cash and carry distributors, though volume potential depends heavily on product positioning and support. **Key distributors:** - **Millennium** — straightforward business; volume potential improves with proactive promotional support - **Imperial** — similar to Millennium; decent volumes available for brands that back their brochure promotions - **Booker** — also recommended as a solid option **Volume and positioning:** Members report that cash and carries are price-sensitive markets dominated by mainstream brands. Premium brands typically see modest but consistent volumes by branching into on-trade or supplying independent premium bottle-shops, rather than competing on volume alone in the cash and carry channel itself. **Strategy:** If you support their promotional brochures and marketing activity, you can pick up good volumes. The key is active partnership rather than passive listing.

#distribution#cash-and-carry#channel-strategy#premium-brands