Buyer Get a new perspective about the price of wine in California

There are a number of factors that affect the price of wine in California – some clear factors such as the cost of water and some are less clear, such as the structure of wine clubs for organs.

I think that if I asked 10 commercial buyers in the UK, the first three things that appeared in their head when talking about wine from California, then all of them will be at least one of their answers, is the only thing that no one wants to talk about.

Of course this is the price.

California wine is expensive in the large scheme of the wine world, but after I just returned from a trip there, see this from a different angle these days.

In my view, this is an embarrassing post, but it is necessary to start it. Embarrassed because players and girls from the California wine institute may not expect my leading article to be one of the most controversial problems with California wine in the export market. But it is necessary because a lack of understanding about the structure of pricing around the world makes people turn into many of these wine.

The value of US wine exports increased to $ 1.62 billion in 2016

The signs were not good when I came out there for the first time. Our first morning in Napa and there we took samples from the good Sauvignon Blanc, but for $ 35 for the bottle? Hmmm. Selling difficult.

But throughout the week, talking to the owners, wine makers and some locals in the center of Napa, the perforated puzzle parts began to click together.

For a start, investment needs returns.

A new investment has been introduced to the region since the 1970s, especially from winning the main headlines around the world in the rule of Paris in 1976. It is not exactly a cheap work that puts wine, and these men may not expect money in return, but at least something.

We forget that in Europe the jump came forward in many regions from large grants from the European Union. In the United States, it is especially funded.

Also, these are not just wine factories, they are destinations. Especially in Napa, this Gaffs is created for travelers on the weekend from Los Angeles and San Francisco to attend and enjoy the glory of “Wine Usa”. And why not?

I remember that I was wandering around Inglenook, one of the places of Francis Ford Coppola, and it was decorated like the Jeeves and Wooster collection in the twenties of the twentieth century, with a gift store of course!

RayMond Winary, with her S&M models wearing her clothes, velvet walls, and stuffed black, are in a place that I will never forget. But it is clear that all this costs money.

The way this wine is sold makes its export difficult from the price perspective. Wine clubs in the United States are all angry. There are a lot of the remaining funny peak bases that contain a lot of people who earn a lot of money to change, especially the three -level sales system for retailers.

So what the wine factories do is completely circumvent and sell it directly to customers through members of the members.

We visited the Ovid Glorious wine factory, with a panoramic viewing balcony of one of the Napa entire valley. The “Priority Red” top priority brand was great, but at $ 285, you expect it. No, with 85 % of the wine that was sold directly to their organs club, do you think they are lying at night and wondering whether the price will be dropped?

Making wine is not the cheapest thing in the world to do in California. Some of them are inevitable. Water costs are high and more. The temporary employment used during the harvest is employed from a small group of Mexican workers. Increased pressure on the borders does not help or compete with the relatively rich marijuana and recently dumped marijuana.

The panoramic view of NAPA

Other costs, but noble in its own way. NAPA and Sonoma are looking for them to be completely sustainable areas for cultivation of chrome before the end of 2020. We must be all happy to pay a few more for that to spread all over the world.

From the UK perspective, we also suffer from a shrinkage in purchasing power. The pound has a hammer because Britain's exit from the European Union is not their mistake, right? Unfortunately, it is now more than ever that Brits needed to search for the location of the real value. It was $ 30 at a value of $ 30, Sophingon Blanc, 15 pounds, is no longer too far, and now it is 25 pounds. It is a difficult fact at the present time.

Therefore, the price of wine in California should be placed in its right quorum.

There will remain a lot of consumer consumers who have not been able to give a monkey around any of these points and will continue to reject them. They are allowed. But there is some good wines wandering in California, and we now hope that the “elephant in the room” will be a little more in the context.

It would be a shame to miss …

Chants

Mike Turner runs a wine blog, please bring me wine and is the manager of 20h33, who is imported and marketed for Bordeaux Nabeh. Follow Mike on www.twitter.com/pbmww and www.twitter.com/20H33