A statement of Lot18 says the online trade will be closed before the end of July. And it is mentioned that the business model of the parent company, which in the USA records just under one million members and has a venture capital of 45 million US dollar (about 37 million euro) is not applicable to the UK.
The reason is explained like this in the statement: “Those wine lovers who joined us and also shopped, liked our way to present ourselves and our product range but unfortunately the British supermarkets keep us in a strange-hold. They are too powerful as to allow as to compete with them – the growth rate expected could not be attained. We didn’t start our business, either, to use up too much capital of our American parent company, and we have to be careful not to affect business in America.”
Now, after the closing, all of our six employees will lose their job. In the future, Lot18 wants to focus on other markets. It is provided to restart the online portal elsewhere in Europe, south America, Australia and Asia. There is everywhere potential to sell extraordinary wines at interesting prices, the report continues. (red.yoopress)