+ - Why am I interested in being part of Lovemark?
Why am I interested in being part of Lovemark?
You have to think of Lovemark as an extension of your cellar in the United States. We offer you the opportunity to import your wine as if you had obtained your own import license. The wine will be in our warehouses, but you will have control at all times over how each bottle is sold and to whom.
- We will invest in marketing to promote your wines, always with your consent, and with the sole objective of ensuring that your product has a successful penetration in the American market.
- We will look for distributors, we will organize commercial actions to promote the wine, and we will facilitate all the logistical management, including COLA requests for your wines, maritime shipments and customs and warehouse management.
+ - What is the operating process of the platform?
What is the operating process of the platform?
Our standard process consists of a series of steps:
- Platform conditions accepted
- An estimate of the final sale price of the wine is made with our price calculator, which includes all the logistics costs and the margins of the different intermediary agents.
- The contract is signed
- The 1-year platform membership is charged and a deposit is optionally entered for marketing expenses and the insurance policy.
- The request for the COLA for the wines to be exported begins
- The wines are shipped in a consolidated container along with other wineries on the platform.
- When the wine reaches customs, logistics costs are adjusted to the actual price including final taxes and shipping invoices are adjusted.
- The winery pays the amount of logistics costs.
- The wines are added to all our online and offline catalogs.
- With the wines already in our warehouse in the USA, prospecting begins to locate new distributors, and it is also presented to our current distribution network.
- When distributors purchase the wine, marketing strategies are established to promote its sale, such as tastings, presentations, sending samples to specialized magazines or reviewers, etc. Always in consensus with the winery and using the funds on deposit for it.
- When sales are consolidated and collected by distributors (normally 60-90 days), payment is remitted to the winery.
- As the wine stock decreases, new shipments are organized in order to supply active suppliers.
+ - What if I already have wines in the United States? Can I join Lovemark?
What if I already have wines in the United States? Can I join Lovemark?
Yes, it would be necessary to clarify what happens with the exclusivity of the different states where you already have distribution. In principle, what would be done would be to distribute the exclusivity by states.
+ - When does the contract start?
When does the contract start?
The contract begins only when the wine first arrives in the United States, thus, even if the contract is signed on January 1, for example, if the wine arrives on February 15, the contract year begins on February 15 and it will expire on February 15 of the following year.
+ - How are the prices of wines in the USA calculated?
How are the prices of wines in the USA calculated?
We use a series of ‘upward’ calculations to estimate the final selling price in the United States. This calculation takes into account logistics costs, customs charges, Lovemark’s import margin, dealer sales margin and point of sale margin.
When the wine arrives in the United States, with the REAL costs of customs and taxes, our calculation is adjusted and the definitive retail price is established.
+ - What is your commission?
What is your commission?
Lovemark does not take commission on the sale, but we apply a 10% margin on import. The rest of the margins are from the distributor and the store. For this reason, they do not generate losses for the winery, but the winery recovers the cost of the whole wine with the laid-in cost.
+ - What is Lovemark's import margin?
What is Lovemark’s import margin?
Despite the fact that the standard import margin is between 20 and 30%, our import margin is only 10%, which favors that our members’ wines reach a slightly cheaper value than if they used another importer.
+ - How is marketing investment used?
How is marketing investment used?
The deposit for marketing actions can be used in many ways:
- Finance tastings in POS to boost sales
- Shelf Talkers Design and Printing
- Sending samples for ratings
- Creation or subtitling of tasting videos for USA
- Design services by our in-house team.
+ - Who bears the logistics, customs and tax costs?
Who bears the logistics, customs and tax costs?
All import, shipping and customs costs are borne by the warehouse. Lovemark functions as your logistics partner to help you complete all of these steps successfully.
Of course, ALL logistical costs are taken into account when calculating the final sale price of wines in the USA, so that, when sold, the winery recovers the FULL cost.
+ - How do wineries recover money from logistics costs?
How do wineries recover money from logistics costs?
All the costs and margins associated in the process are taken into account in the final sale price of all our associates. From shipping costs, customs, taxes, dealer and store margins and platform margin. Thus, when the wine is sold, the winery recovers the cost of the wine and ALL the expenses associated with each of the bottles.
+ - What is laid in cost - How do I recover my logistics costs?
What is laid in cost – How do I recover my logistics costs?
This is the name given to the cost of putting the wine in the United States. It includes all the expenses that the winery recovers with each bottle sold, since it is taken into account when calculating the final price at destination, and consists of Exworks + logistics + taxes + customs.
+ - When will I get the money from my wine sales?
When will I get the money from my wine sales?
The wines will be paid to the winery once the distributor pays us the amount of the same. Generally these pay 60-90 days, and we will pay the warehouse as soon as we receive the payment.
+ - How are collections secured?
How are collections secured?
To guarantee collections, wineries can contract the platform in its Premium modality, which includes the use of our credit policy for sales to distributors and retailers up to $ 3,000,000 for an additional cost of only $ 1,000 per year.
+ - How many pallets can I send of my wine?
How many pallets can I send of my wine?
The wineries can send as much wine as they want. The cost is $ 0.50 / box per month in our warehouses, so the warehouses have maximum flexibility when it comes to increasing or reducing their stock.
Our experience recommends sending two start pallets to test the market, and then ensure a continuous supply to avoid stock breaks.
+ - Payment terms on invoice - No maturity or deposit terms.
Payment terms on invoice – No maturity or deposit terms.
The invoices issued by the wine cellars and import expenses will be issued without payment terms (indefinite term). As defined in the contract, we pay for them as the wine is sold and collected from the distributors.
Are you still having doubts?
Don’t worry, you can call or write us to answer any questions. Lovemark Advanced Trading was born thanks to the experience of several entrepreneurs in the wine sector in the United States who saw that there was a very complex logistical entry hole for foreign wineries, and designed a custom product to make life easier for wineries.
And that is our goal, to make your life easier, reducing costs as much as possible, and giving you control over your own wines in the USA.