Identifying a hole in the market and knowing how to fill that niche are two keys of entrepreneurship. That’s how innovators are getting into the wine and spirits game these days—by being smart, connecting the dots and doing what they know.
Cameron Hughes worked for The Wine Group, the third largest U.S. producer, before creating Cameron Hughes Wine in 2001. As a neégociant, or middle-man, Cameron Hughes Wine sells huge lots of affordable-but-good vintages to places like Safeway and Costco.
“There are two ways to come into the game,” says Hughes, 36. “If you have good capital, then focus on a high-quality vineyard and use a custom crush facility and a consulting winemaker. Do not buy a winery.”
“If you don’t have a lot of capital, then keep it virtual” or be a middle-man, he suggests. Creating a private label requires low overhead and none of your own equipment.