Online businesses in Australia have a number of advantages as compared to the traditional brick-and-mortar stores. These advantages are common knowledge and well-known. The wine retailing business in Australia through the web medium also has a number of challenges which are far less known. Many customers do not know what all has gone in to ensure that they can buy wines with ease and get these delivered to their place.
Limits on Online Marketing
If you have read about the wines online, you would have certainly read that wines are good for health if these are drunk in moderate quantities. So much so good. However, the Australian law does not want you to make these claims online. On the contrary, it restricts even your marketing efforts. It has stringent laws related to privacy of individuals and protection from spamming in place. Here are some of the restrictions which it imposes:
- No Display Ads through search engines. Online wine shops can engage in Shopping Ads and search ads on Search Engines, but not the Display ads through search engines.
- No Remarketing on Google and Facebook. The law also prohibits remarketing of wine ads on popular search engines, including Google and the social media major Facebook.
- No Emails without express consent of recipients. Online wine retailers also find it difficult to develop and expand their mailing lists. This is so because the law provides for very strong privacy and spam protection. Customers can be acquired through various online channels but emailers have to be sent through consent. Online wine businesses are also required to maintain a record that the consent was recipient was obtained before sending even the first introductory mail. Further, ‘express’ consent requires that there are no-filled check boxes agreeing to receiving the newsletter.
- Emailers have not to be sent to those who have unsubscribed from the mailing list. Even a single complaint could put the wine company in jeopardy and liable to be fined heavily. Thus, there is a need to keep pruning the emailer list to remove those IDs which have unsubscribed.
- Cost of acquiring new customers is generally very high since the company has to go looking for more customers through affiliate channels where commissions have to be paid.
There are quite a few requirements of regulatory nature which must be met before selling wines online. Thin includes registering your unit and taking the licenses.
Deciding on various models of operation
Another key consideration is with respect to which model of operation is to be used for this purpose. These models can be various, such as operating as an independent ecommerce company or as a marketplace. It can even be based on how inventories of wines are being managed, such as stocking the wines in-house, letting suppliers keep the wine and shipping it on generating the order, or it can even be first receiving the wine in-house and then packing the wine before shipping.
Developing Team of Professionals
One of the most difficult tasks is to have a team of really expert professionals in online design, web technologies, content, online marketing and what not!!
Since the aim is to beat the competition and rise above the rest, there is a need for highly skilled and trained professionals to man the operations.
With these requirements and limitations, it can now be clear that the online wine sales business in Australia is not as easy as some might be inclined to think.