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Consumer Benefits
Thanks to Washington States three-tier system, consumers find an incredible variety of beer and wine products on store shelves. Each distributor is required by law to charge the same prices to all of its retail accounts. The little corner store gets the same price as Costco does on high-end wines, craft beers, and, of course, all the big name products like Budweiser, Kendall Jackson and Hogue Cellars. Your local store can therefore afford to stock all these items, giving the consumer more choices.
What else do distributors do to help consumers?
- Distributors take advantage of economies of scale and deliver multiple products to individual retailers at the same time. The result: more choices for consumers.
- Distributors make it economically feasible to deliver small quantities of a specialty product to retailers. A winery wont be able to deliver a single case of wine to a distant store once a month; a distributor will. The result: more choices for consumers.
- Distributors provide a ready-made path to the marketplace without the need for additional capital investment by producers. The result: more choices for consumers.
The three-tier system ensures an outstanding selection of beer and wine in our local stores.
Consumer Satisfaction is High
Critics of the three-tier system are giant retailers that want to increase their market share by undercutting their smaller competitors. Costco and Wal-Mart are the obvious examples.
Consumers like the system: 85% of Americans who consume alcohol say they are satisfied with the selection of beer, liquor and wine available locally 1. And 82% are satisfied with the convenience of shopping locally for these products.
1. Wirthlin Worldwide, Research Survey 2004
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