by Vic Harradine
Only half the wine selection of the LCBO reaches retail shelves. The balance is readily available to the general public, but most seasoned wine-lovers (forget the masses) have little idea how easy it is to access them. Only a select few set sail in the uncharted waters of consignment wine. Here's the GPS to help navigate this 'other' distribution channel. It's a whole new stream of interesting wines from the familiar LCBO.
Most wine-lovers easily navigate the LCBO retail store—they make contact with a friendly and wine-savvy Product Consultant, recognize 'hot' Vintages products sell through quickly, are aware there are some good-value wines in the General section, and browse or purchase from the 'Futures' program and Classics Catalogue.There are over 600 LCBO retail outlets in Ontario. All stores make their selection from the same list; larger stores carry more brands and smaller stores fewer. Consolidation of brands, focused large-quantity purchasing, and lowering inventories help make the LCBO profitable. It's more profitable and easier to manage ten facings of the same wine than one facing for each of ten different wines. There's only so much shelf space; you can't have it both ways.
Wine-friendly restaurants purchase consignment wines because of competition. They can't afford food menus or wine lists similar to others, they must differentiate themselves. One way to do this is by sourcing and offering unique wines; great-tasting and good-value wines, probably not mass produced, that were undiscovered or failed to meet the LCBO's retail buying criteria. These wines are usually from smaller, often family-run wineries. Wine-friendly restaurants include a carefully chosen and generous selection of consignment wines on their wine lists.
Anyone of age can drink and serve friends and dinner guests these same meticulously sourced wines that are not available at any retail LCBO. Stop shopping at the LCBO? Hardly! They release over three thousand fine wines per annum through Vintages alone and have a generous thousand or so wines, depending on the size of the store, always available in the General section. Consignment wine is not an either-or proposition; it's a terrific way to experience new wines and expand wine horizons.
How does it work? Licensed wine agents scour the world—visiting many different countries and their regions, tasting hundreds of wines, meeting with winemakers and owners, getting shoes and pant cuffs muddied in their vineyards—to find unique wines that express individual terroir, taste better than their neighbours', measure up to world-class standards, and at a good-value price. Why do they go to all this trouble? Of course, it's their business, but there's more to it than that.
Ian Campbell, Executive Director of Ontario Imported Wine-Spirit-Beer Association, was kind enough to supply the following information. "In fiscal 2006-07, there were 9,225 products sold through LCBO Consignment Warehouse and Private Ordering - just under half of the LCBO's 18,763 total product listings. There are more than 500 manufacturers' representatives licensed by AGCO in Ontario. There are approximately 130 individuals/agencies active in the LCBO's Consignment program."
Competition is keen and, you'll not meet a successful agent who's not extremely passionate about his/her work. They form bonds with wineries that last for years, often on no more than a handshake. A strange way to do business in today's world, but it's the same at this end. Agents offer personalized consulting and delivery service to their customers in Ontario (restaurateurs and private customers) who buy these wines through them.
'Through them' is the proper term as licensed agents place their orders through the LCBO who, in turn, order the wines from the winery, receive and hold them in bond until the agent places a customer order for release. The LCBO pays the winery once the entire shipment has been sold. These wines generate similar tax revenue as wines sold in LCBO retail stores. They also undergo the same stringent quality assurance testing as those slated for retail stores, but are not subject to sensory evaluation.
It's incredibly simple to access these wines, just log on to the website of a licensed wine agency. Many of them belong to the Ontario Imported Wine-Spirit-Beer Association (www.oiwsba.com) and you can access agencies through links provided on that site. You'll also find a small number of links on the winecurrent site—they're agencies whose wines have been tasted and reviewed in winecurrent.
Where can you learn about or taste consignment wines before purchase? Websites of agents often provide wine critics' reviews. Winecurrent.com often reviews these wines. You can taste consignment wines while attending wine fairs and shows. When enjoying wine in a restaurant, ask the server / Sommelier where the wine was purchased, if via an agent, ask which one. If they don't know, record the name of the winery, pertinent information about the blend, country and vintage date and phone 1-800-ONT-LCBO asking for the agent's name. Contact the agent with the particulars and place an order.
Consignment wines range from $10 a bottle to the sky's the limit, but there's a wide selection in the $18 - $25 range. You can be almost certain they're good value. Restaurateurs hire keen wine tasters and agents must be competitive in their pricing. You'll pay about 12% more than the restaurant - a function of LCBO regulations, not the agent.
Consignment wines are sold by the case, usually twelve bottles, but sometimes six. Most wines will take a year of aging so no need to consume them all quickly. Many divide the case with friends. Often they're purchased for special occasions when a case or more is consumed in a short time. Wine collectors and aficionados have a different challenge; they can't get enough! Cult wines and those that sell out through Vintages in hours may still be available through the agent. Regular clients snap these up.
Each agency manages its delivery system slightly differently, but if you live in a large urban centre you can expect delivery to your home or office a few days after you order. Some agencies ship every business day, all over the province, with customers receiving orders in three days or less. Most take payment by credit card (some by credit card or cheque) and you pay upon delivery. Larger agencies have more than one thousand private customers who buy regularly plus numerous restaurant accounts.
(previously published June, 2008)