Sanders said the funding would be used to build out his company's B2B technology offerings. BevAccess started life 65 years ago as a trade publication about the wine and spirits industry. But the online version of BevAccess operates as an exchange for wine and spirit retailers and suppliers, bringing supply and demand together. By charging subscription fees instead transaction fees, BevAccess manages to address federal and state liquor laws that regulate wholesalers and retailers of spirits. Wholesalers pay the company a variable subscription rate that depends on how many products they carry.
Suppliers pay according to the size of their operation and number of markets they wish to reach.
Retailers can either buy products through the trade magazine or online at the B2B exchange. Sanders said the company derives a chunk of its revenue from advertising sales, which unlike pure Internet plays, continues to be strong. He credited the company's offline publication with generating higher sales through a blend of on and offline advertising. Many suppliers that advertise with us now have been able to blend their ads online. They get an added value for their money.