Back in April 2010 I hired a lawyer to review the NS Liquor Act to determine if it was a viable business idea to offer in-store winery services at my existing Wine Kitz New Minas location. It was determined that based on the interpretation of various clauses in the Liquor it was somewhat of a grey area. Based on this information, one month later I commenced offering in-store winery services. As anticipated, this service has been well received by many consumers. To date we have processed in excess of 1100 wine batches and the popularity of making wines in-store continues to grow.

This new service has not sat well with the bureaucrats at the NSLC who are attempting to protect their liquor monopoly with an iron fist. In the 18 months that I been offering in-store winery services, twice I have been served with bogus Cease & Desist letters. Despite having a Federal Excise license clearly displayed on my store wall, I have also been accused of operating without a license. Lastly in their bullying tactics, the NSLC have contacted the two local radio stations and advised them that it would be in their best interest if they not allow me to advertise my in-store winery service on their stations.

Despite these attempts to have us discontinue our in-store winery service, we continue to offer Nova Scotians the same services afforded to consumers on PEI, in New Brunswick, Ontario and several other Canadian provinces.

Due to their failure in shutting down our service, on November 29th, the minister responsible for the NSLC, Graham Steele introduced a Bill in Legislature to further empower the NSLC. The Bill reads:

“The NSLC may apply to a judge of the Supreme Court of Nova Scotia directly if there is reason to believe a person or business is likely to, or is continuing to, commit a violation of liquor legislation or regulations”.

The Bill is being pushed through under the guise of Public Heath & Safely. It’s my belief this Bill is being proposed to target businesses which offer in-store winery services. If this Bill is passed there is no doubt in my mind that within weeks, days or even hours, the vultures at the NSLC will be at my door with injunction in hand looking for their pound of flesh.

If served with an injunction to Cease & Desist my in-store winery services, I will have no other option but to abide by the law and await my day in court.

Many of you have regularly used our in-store winery service. In an attempt to continue this partnership I ask that you click on the link below, review proposed Bill 120, sign the letter and e-mail it to Premier Darrell Dexter. A listing of MLAs has also been provided for the same reason.

While visiting our website you may also want to read Diana Whalen’s take on Bill 120. If you feel obliged, a link has also been provided to contact the Halifax Herald. As noted on the website, hard copies of each letter will be mailed to Premier Darrell Dexter.

http://uvintns.ca/

Thank you in advance for your support.

Blair Sampson
Owner/Operator
Wine Kitz New Minas

Each month as part of this blog I will attempt to provide consumer-made wine industry information of interest to winemakers. Some of this information will directly relate to the Atlantic region, and other information will be more general in nature. Where possible I will include links to other wine-related websites which you may find interesting.

Enjoy!

Last month in my News from Nova Scotia section I mentioned that it had recently come to our attention that the Nova Scotia Liquor Control Act is being reviewed, and that many changes will be implemented. I also mentioned that I would share the numerous concerns I have with the potential changes to the NS Liquor Act, and the possible negative impact on our industry.

Below I have provided a list of current industry facts. I have also dusted off my crystal ball and offered several speculations on the NS government’s approach to in-store winery services.

FACTS

Fact: When the Nova Scotia Legislation sits in late October/early November, numerous changes to the NS Liquor Act will be announced.
Fact: Some of these changes will impact the NS Craft wine industry and in-store winery services.
Fact: As industry stakeholders, we are not opposed to change. Although we are cautious as to what we wish for, we invite fair licensing and legislation.
Fact: As industry stakeholders, we have asked to meet with the NS provincial government to discuss the impact of the impending changes (Letter to Minister | Response from Minister). To date, our invitation to meet has not been welcomed. Without industry input, we fear the worst.
Fact: As industry stakeholders, we wish to compete on a level playing field and offer fellow Nova Scotians the same services offered in many other Canadian provinces, including New Brunswick & Prince Edward Island.

SPECULATIONS

Worst Case Scenario: The NS provincial government will outlaw in-store winery service.
Speculating the government’s explanation: The possible negative impact that in-store services would have on Nova Scotia’s growing commercial wine industry.

2nd Worst Case Scenario: The NS provincial government will permit in-store winery service by implementing a large per litre tax/fee/levee for each wine batch made in-store.
Speculating the government’s explanation: A large fee is required to cover projected lost NSLC sales and to cover costs of new infrastructure to oversee in-store winery services.

Best Case Scenario: The NS provincial government would permit a licensed and legislated in-store winery service without applying any per litre fees. This would be in keeping with New Brunswick’s current business model.

2nd Best Case Scenario: The NS provincial government would permit a licensed and legislated in-store winery service with fair per litre fees for consumers. This would be in keeping with Prince Edward Island’s current business model.

Rumours abound that the NSLC will soon discontinue bottle-your-own-wine services offered in various NSLC locations across NS. Chances are they will attempt to lay blame on in-store winery services for the shortcomings of this program.

I have other speculations but do not wish to share them at this point due to not wanting to provide the government with other ideas on how to pull the rug out from under us.

Stay tuned, we will all soon learn the outcome of the revised NS Liquor Act.

~ Blair Sampson, Wine Kitz Atlantic

There is no denying there are many advantages to Wine Kitz being owned by a commercial wine manufacturer. Attending a national conference in the heart of Ontario’s wine country happens to be one of the advantages. Our evening social gatherings were gala events to say the least. On several occasions, wine tastings and dinner were served at one of Andrew Peller’s local wineries. The menu was exceptional. The wine…… yes the wine… it was a free flow!

While dining one evening at one of the wineries, we had the honour of meeting John Peller, third generation owner of Andrew Peller Ltd. Getting to meet and greet with the head honcho is always an added bonus.

From a business perspective it was a well organized and well thought-out conference. Many of the presentations, workshops and other activities were interactive, providing everyone with opportunities to participate, learn and contribute to the success of the conference. Additionally, with 72 franchise stores, the conference provided a great opportunity to meet new franchise partners from across the country and to renew acquaintances with some of the more familiar faces in the crowd.

The two well selected guest speakers, Dave Laroque, a long-term winemaker with Andrew Peller Ltd, and Donald Cooper, former owner of Cooper Canada and now a renowned inspirational speaker, each brought their own expertise to the conference. In short, their presentations were both informative and insightful.

I can confidently speak for all who attended the conference that we all came away better entrepreneurs, better winemakers and better equipped to make our businesses a continued success.

In closing, I am proud to mention that Atlantic Wine Kitz stores won 5 awards. Our Moncton, Quispamsis & Fredericton locations won Director’s Club Awards for Sales Achievements. Mike Briggs, owner of our Moncton location, was awarded Franchise Partner of the Year 2011. Darren Holt, owner of our Charlottetown location, and new kid on the block, was awarded New Franchise Partner of the Year 2011. Kudos to the winners. These awards and recognition capped off a very eventful and successful national conference.

I’m very happy to announce that Ross Harrington, owner of Wine Kitz Halifax, will once again offer in-store winery services to HRM and surrounding area winemakers.

Those who have followed this blog or are familiar with our Wine Kitz Halifax location may be aware that Ross attempted to offer in-store winery services several years back. At that time Ross was charged with illegal storage of alcohol and selling liquor without a license.

In short, Ross was later found not guilty of storage of alcohol but guilty of selling liquor without a license. The presiding judge agreed with the crown that a wine kit, in its off- the-shelf-box format should be considered alcohol.

Only under Nova Scotia liquor regulation could this happen!

Ross Harrington’s decision to once again offer in-store winery services is based on many factors. The most determining factor is the uninterrupted and ongoing in-store winery services offered by various other Nova Scotia winemaking locations including Wine Kitz New Minas.

Not unlike the past scenario in New Brunswick, the legality of in-store winery services in Nova Scotia remains a grey area. Hopefully this will help convince our provincial government that in-store winery services are a bona-fide business model which should be legislated into the Liquor Act. This would go a long way in leveling the playing and allowing industry players to compete with neighbouring provinces.

In closing, I wish to offer cheers and kudos to Ross and other industry entrepreneurial types for showing backbone despite bureaucratic flack by moving forward and matching services offered in all other Maritimes provinces.

~ Blair Sampson

Wine Kitz New Minas has been offering in-store winery services since May 15th, 2010. In this time period we have processed 500 + wine batches. This new-to-Nova Scotia service has attracted many new customers to the craft winemaking industry. Our customer demographics reflect many seniors who cannot lift heavy product along with apartment dwellers without adequate winemaking space as regular users of our services. To date we consider our in-store winery services a well-received and successful business venture.

Despite abiding by all federal regulations governing in-store winery services, despite collecting and submitting taxes and despite hiring more employees, we have obviously not made any friends in Nova Scotia’s political circles.

It seems the bureaucrats who run the Nova Scotia Liquor Corporation have issues with our in-store winery services. So much so, that they have resorted to bullying and intimidation tactics. Their first bullying attempt to shut down our services was in November, 2010, when they paid us a visit and presented us with Cease & Desist letter. Thinly disguised as a court order, this letter was not worth the paper it was written on and was immediately disregarded.

The latest bullying attempt to make our work difficult was a February letter to the local radio station advising them to immediately discontinue advertising our in-store winery services.

Away with these meek and juvenile tactics! If these non-elected NSLC bureaucrats who are obviously on a power trip feel that we are providing an illegal service, we request they report us to the local RCMP and have us charged accordingly (members of local RCMP may want to bottle their wines while visiting). The courts can then determine if our services are legal or not.

Until then it’s business as usual at Wine Kitz New Minas.

DIRTY ROTTEN SCOUNDRELS …. You bet they are!

Wine Serving Temperature Guidelines

The temperature at which a wine is served will have a profound effect on how it tastes and smells. Here are some tips:

Serve full-bodied red wines such as Cabernet Sauvignon, Shiraz and Merlot at a cool room temperature of 16 to18°C.

• Greater than 20°C the alcohol will start to evaporate and the wine will taste flabby and lack crispness and structure.
• At 10°C the wine will taste astringent and lack aroma.

Serve light-bodied red wines such as Gamay Noir at 14 to 16°C.

• To enhance the fruit and refreshing acidity of the wine.
• Refrigerate for 20 to 30 minutes.

Serve rich or complex dry white wines such as Chardonnay, Viognier and Pinot Grigio at 12 to 14°C.

• To appreciate its full rich complex style

Serve sweet wines and off dry rosé wines at 8 to 10°C

• Chilling a wine brings out the acidity and softens the perception of sweetness

Serve lighter bodied, refreshing white wines such as Riesling, Pinot Grigio and Sauvignon Blanc, and dry rosé wines at 10 to 12°C

• To enhance the acidity of the wine for refreshment

Serve sparkling wines at 6 to 10°C

• To enhance the acidity of the wine for refreshment
• To retain the bubbles in the sparkling wine

Serve dry Sherries chilled at 12 to 14°C

• To enhance the flavours

Serve cream Sherries at a cool room temperature of 16 to 18°C

• To enhance the rich creamy character
• To chill a 750ml bottle of wine from 22°C to 10°C it will take 1-1\2 to 2 hours in the refrigerator or 30 minutes in a bucket of ice water.

Several times a year, kit manufacturers will produce Limited Release kits. Traditionally, these kits were available in-store to consumers in late fall or early winter months. Now with accessibility to raw material from the southern hemisphere, a.k.a. New World vineyards and wineries, where the harvest season runs at opposite times from northern hemisphere countries, access to high-end product to formulate these kits is nearly year-round.

Limited Release kits are not part of a store’s regular inventory. As mentioned above, they are made from special juices or concentrates from world-renowned wine regions that are only available on a limited basis or at certain times of the year. Limited releases are most often unique varietal wines that manufacturers have obtained through long-term close relationships with premier wineries.

If an exceptional product is sourced, a Limited Release kit may be issued every year at a certain time. On other occasions kit manufacturers will develop a new wine kit and issue it as a Limited Release to test consumer interest in the product. If consumer interest and demand is high enough, this product may be added to the retailer’s regular inventory.

Limited Release kits are regarded as the best of the best in the wine kit world. In most cases, these products are available in a large 18L format and include classy theme-style bottle labels. Some manufacturers also offer these wines in a smaller format for the more budget-minded winemaker. Both formats make 23L.

Most wine kit retailers offer Limited Release products on a pre-sign up basis only. Once consumer orders have been filled and products have been picked up, they may never be available again.

If you have never made or tasted a finished and aged Limited Release kit, I suggest you treat yourself by contacting your local winemaking store and sign up for a kit of your choice. You will not be disappointed!

Thanks

Blair
Wine Kitz Atlantic

Prince Edward Island

Charlottetown: In early March we opened our first store on Prince Edward Island. Owner Darren Holt recognized a great business opportunity when in-store winery services were introduced on PEI. Darren has not looked back since making the decision to join Wine Kitz and the consumer-made wine industry. Located at 155 Belverdere Ave, this location has been every bit as busy as we anticipated and continues to provide Islanders with quality products and excellent service. Good things are in the future for Darren and his new store.

New Brunswick

Fredericton North: I’m happy to announce that we’ll be opening our 2nd location in Fredericton in mid-October. Eric Tucker, owner of our Smythe St Wine Kitz, has located this new store at the Brookside Mall. The store is located between the NBLC store and Good Life Fitness Centers and has an exterior entrance only. Once opened, this store will provide the same products and services currently being offered at the Smythe St location. There may even be a few familiar faces on staff.

Saint John: Our Saint John location has outgrown its current location. Charlie Cain, our franchise partner who has been in the winemaking industry for 20+ years has had his wish come true. We will be moving to a bigger & better location in February. Although we’re moving, we will not be moving far. We are currently located at 800 Fairville Blvd and we’ll be staying within the Westwind Plaza complex by moving into the former Vogue location, 3 doors down from NBLC store. The new location will have state-of-the-art wine processing equipment including a commercial bottle washer which will sanitize 30 wine bottles in 4 minutes. The main objectives of our move are to offer our customer base an expanded product selection and offer more and better services.

Moncton: Back in March, Mike Briggs, franchise partner on Mountain Rd, Moncton also ran out of operational space. We were fortunate that at the time, the space next door was vacant. We were able to secure 1100 square feet at the back end of the store to expand the winery portion of our business. This more than doubles Mike’s winery space and enables him to unload and store product by the pallet load. This space is currently being fully utilized and business continues to be as brisk as ever.

Nova Scotia

New Minas: Our New Minas outlet, owned by yours truly, commenced offering in-store winery services in mid-May. To no surprise to anyone in the know, our in-store winery services have been very well received by new and existing customers alike. To date we have processed in excess of 200 batches of wine. Approximately 30% of wine kits sold in this time period have been or are being made in-store by our customers.

Due to the nature and simplicity of in-store winery services, many seniors who do not have adequate space due to down-sizing or who are unable to lift, are now attracted to our new services. One of our newer senior customers, a witty gentleman, recently took the time to point out that our products are senior friendly: “There’s no chewing required.”

We’re having fun and so are our customers! Let’s hope our provincial government feels the same way 

With only 3 out of 26 Nova Scotia winemaking stores “visibly” offering in-store winery services, we invite other industry players to join us in offering Nova Scotians the same services offered in New Brunswick, Prince Edward Island and many other Canadian provinces.

Summary

In quick summary 2010 has been an exceptional year for the Wine Kitz Atlantic region on many fronts. Out of a group of 70+ Wine Kitz franchise locations across the country, we have 3 locations currently in the top ten in sales in the country. These stores are Fredericton, Moncton & Quispamsis, NB. Fredericton is currently Number One in the country!

Obviously we must be doing something, or many things, right. Much of this year’s success is due to the hard work of each franchise partner and their willingness to work as a group to raise and support our Wine Kitz branding power. The most evident example is the shared cost of running a spring ATV television ad campaign. The sales results of this ad campaign were exceptional. Most participating stores experienced their best sales ever. Mission accomplished!

In my Sept 2008 blog, I announced that Andrew Peller Limited had purchased Global Vintners, then owners of Wine Kitz Franchise Corp. Now two years later, I must offer kudos to APL management. As owners they have not disappointed. Since the time of purchase, we have experienced expanded product selection, innovative product mix and advanced wine making procedures. With APL at the helm we are confident that Wine Kitz will continue to grow at all levels and will remain the leader in the consumer-made wine industry growth for many years to come.

High fives all around !!

~ Blair Sampson