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Flaviar Barrel Program - Process Overview

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Step 1: Customer Purchase

Timeline: Either self-service by the brand partner or processed within 48 business hours if Flaviar Partner Success Manager (PSM) is facilitating.

  • Invoice creation:

    • Customers pay upfront via Shopify invoice before the barrel is shipped to the DC warehouse.

    • Brand partners create and send invoices directly to customers through Shopify’s draft orders to be as efficient as possible.

    • Flaviar PSMs can produce the invoices as well within 48 business hours

  • Collected at check out:

    • DC sales tax of 10.25%

    • Freight Costs

      • Exact freight estimates cannot be provided in advance due to LTL shipment variability.

      • Freight Options

        • Option A: Customer pays no shipping/cost is built into the barrel price.

        • Option B: Estimated freight costs are calculated by the customer’s address and added to the invoice based on zone rates. Brand absorbs any surplus or deficit.

Step 2: Barrel is Ready to Ship to DC Retailer Fulfillment Center

Timeline: Purchase orders are processed within 48 business hours of request from brand partner to PSM.

  • Purchase Order

    • Flaviar places a PO on behalf of the retailer for the custom SKU and desired quantities/final yield.

    • To produce the PO, brand partners must provide the number of bottles as part of the barrel.

  • Import Fees and Filing

    • $5 per PO + $0.30 per 750ml bottle.

      • Flaviar files and pays import fees upfront.

      • Flaviar will include this as a discount line item in the PO.

Step 3: Shipment to Flaviar DC Fulfillment Center (LTL)

Timeline: Barrel typically lands in the DC warehouse 1-2 weeks upon shipping from the brand partner.

  • Barrel Preparation

    • Brand partner sends the empty barrel and cases to Flaviar’s DC warehouse.

      • The pallet must include a barcode with the UPC for the specific SKU along with the Shopify order number.

    • Pallet should be wrapped in black tamper-proof pallet wrap.

  • Freight Coordination to Flaviar DC Fulfillment Center

    • The brand partner is responsible for the coordination and costs of freight shipping required to transport the barrel to the DC fulfillment center.

  • Arrival to Flaviar DC Fulfillment Center

    • Barrel arrives at Flaviar DC fulfillment center.

      • Photo documentation can be provided upon request.

Step 4: Shipment to Consumer (LTL)

Timeline: Freight delivery usually takes 1–2 weeks. The freight company coordinates the delivery directly with the receiving customer.

  • Freight Coordination to Consumer

    • For compliance, product sits at the Flaviar DC fulfillment center for 24 hours before freight is booked.

    • Flaviar coordinates with an LTL freight aggregator for cost-effective delivery.

  • Freight Communication & Fees

    • Flaviar manages communication with the freight company; the freight company coordinates delivery directly with the customer.

      • Additional freight fees may occur, including charges for rescheduling, storage, or missed deliveries (varies by carrier).

        • These costs are reconciled after delivery.

        • Brand partner either pays on behalf of the customer during month end reconciliation or Flaviar can bill the customer directly via payment link.

    • Customers are notified of expected delivery dates from the carrier, with ongoing customer support from brand partner.

      • Flaviar can provide customer support copy for each barrel milestone:

        • In Transit

        • At Fulfillment Partner’s Warehouse

        • In Transit to Customer

        • Blocked (needs more information from receiver to deliver)

        • Delivered

Step 5: Payout to Brand Partner

Timeline: 30 days after barrel lands in the Flaviar DC fulfilment center.

  • Purchase Order Payment from Retailer to Brand Partner

    • The retailer pays for the PO on Net 30 terms following the product arriving at the warehouse.

  • Reconciliation with Flaviar

    • Flaviar reconciles freight cost actuals relative to what was collected at the time of the customer purchase. If there is a surplus or deficit in freight costs, a final invoice (if a deficit) or payment (if a surplus) is issued to the brand partner.

    • Reconciliation occurs on the 15th of the month following the purchase. For example:

      • Freight company bills Flaviar for the shipment before/on 10/1 → brand partner billed or paid on 10/15

      • Freight company bills Flaviar for the shipment on/after 10/16 → brand partner billed or paid on 11/15

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